Clippers owner Steve Ballmer and star Kawhi Leonard are alleged to have circumvented the salary cap in a US$28 million (AU$43 million) no-show marketing agreement bombshell.
A former employee in the financial department of the Ballmer-backed Aspiration — which has since gone bankrupt — told Pablo Torre for his Pablo Torre Finds Out podcast that employees were told not to ask questions about Leonard’s deal with the company since the point was to “circumvent the salary cap”.
Ballmer and the Clippers denied the allegations in a statement to Torre and his show.
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“Neither Mr. Ballmer nor the Clippers circumvented the salary cap or engaged in any misconduct related to Aspiration,” the team said in a statement.
“Any contrary assertions is provably false.”
NBA spokesman Mike Bass told The Post on Wednesday that the league is “aware of this morning’s media report regarding the LA Clippers and are commencing an investigation.”
The Clippers pulled off a stunning signing in July 2019 when they landed Leonard on a four-year, US$141 million (AU$215 million) contract after he led the Raptors to an NBA title.
Torre, who has done previous deep dives into Bill Belichick’s and Jordon Hudson’s relationship, among other topics, said NBA executives were curious how Ballmer managed to sign Leonard.
The storied Lakers and others tried to land Leonard, yet he chose a franchise mostly known for its failures and being the little brother to the other Los Angeles team.
Some in the NBA wondered whether Leonard’s handler — his uncle, Dennis Robertson — had asked for impermissible benefits during the recruiting process, and enough hoopla arose that NBA commissioner Adam Silver initiated an investigation into the matter.
“Sources say the league was told that Robertson asked team officials for part ownership of the team, a private plane that would be available at all times, a house and — last but certainly not least — a guaranteed amount of off-court endorsement money that they could expect if Leonard played for their team,” The Athletic reported in December 2019.
“All of those items, to be clear, would fall well outside the confines of the league’s collective bargaining agreement.
“A source with knowledge of the Kawhi-Lakers talks said Robertson made those requests repeatedly to owner Jeanie Buss over the course of three phone calls that spanned several days, and that she made it clear that such perks were illegal and would not be considered.”
The Athletic reported that Robertson made similar requests of the Raptors, but the NBA did not find any rule violations committed by Ballmer’s franchise.
However, Torre’s report alleges that the Clippers may have acquiesced this offer.
“The NBA did not find that Ballmer got Kawhi by sweetening their offer, but also that in March 2025, this celebrity-endorsed multibillion-dollar allegedly fraudulent pre-brokerage, named Aspiration, which promises to clear your conscience and your admissions, they filed for bankruptcy,” Torre said.
“And this is where the clue is.”
Aspiration filed for Chapter 11 bankruptcy this March, and its top creditor was LA Clippers LLC at $30,047,222, as seen in an official form obtained by Torre.
The company received $315 million (AU$481 million) in incremental equity financings from Oaktree Capital and Ballmer’s investment affiliates in 2021, Business Wire reported at the time.
The fourth creditor on the sheet Torre provided is KL2 Aspire LLC, which is owed $7 million (AU$11 million).
KL2 Aspire LLC lists Leonard as its manager or member name, as noted in another document Torre displayed during the segment.
The company bears Leonard’s initials and his jersey number.
A filing with the California Secretary of State states a Nov. 22, 2021, filing date.
Torre revealed an endorsement agreement between Aspiration Partners, Inc. and KL2 Aspire LLC that called for the latter to receive $28 million spread out in $7 million payments over each year of the term.
The agreement, which started in April 2022, lists Leonard by name and calls for him to promote the company.
It also states that any legal notice should be sent to KL2 Aspire LLC, with ‘c/o Dennis Robertson’ listed beneath. Robertson is also listed as Leonard’s “designated representative” in the deal.
The agreement further includes a note that “KL2” may “decline to proceed” with any company action if “Leonard believes that such proposed actions are not consistent with his beliefs.”
There are other easy ways for Leonard to get out of actions, as laid out in the document.
Torre said he spoke to seven former Aspiration employees, and one who allegedly used to work in the finance department said the deal was viewed as a way for the Clippers to violate the NBA’s salary cap rules.
“My reaction was, ‘What the f***?‘” the person told Torre.
“I was told, ‘Oh, these are the major contracts and the major players you really need to be aware of.’ We went through a litany of really, really top-tier name contracts and then, oh, by the way, we also have a marketing deal with Kawhi Leonard, a $28 million organic marketing sponsorship with Kawhi. And I have had any questions about it, essentially don’t because it was to circumvent the salary cap lol. There was lots of lol when things were shared.”
The person added, “The single-largest payment to an individual for marketing that Aspiration has ever made has completely evaded all press. It’s honestly incredible. Nothing. He didn’t have to do anything.”
Torre said Leonard was Aspiration’s highest-paid endorser, yet he could not find any single mention of Leonard publicising the company.
“And this was hard to find,” Torre said.
“Which, also, might seem weird because every other celebrity Aspiration gave money to was well known. There was Drake, offering a statement to Rolling Stone. There was Doc Rivers, Kawhi’s own head coach. Robert Downey Jr. was cutting his commercial, that was the whole point of paying the A-list Avengers. But the grand total of times I found Kawhi Leonard ever publicly referencing Aspiration: zero times, Kawhi Leonard mentioned Aspiration.”
Leonard re-signed with the Clippers on a four-year deal in 2021 and then signed another three-year contract that keeps him under contract through the upcoming season.
This marketing deal began during that first re-signing period.
While Leonard led his two previous teams, the Spurs and Raptors, to championships, the Clippers have not advanced beyond the Western Conference finals in his time.
The Clippers have made the playoffs five times in his six years — missing in only the 2021-22 season, which Leonard missed due to injury — but have lost in the first round each of the last three years.
Leonard is gearing up for his 14th season on the court — 15th overall — and has averaged 24.4 points per game with 6.4 rebounds during his time with the franchise.
This article originally appeared on the New York Post and was reproduced with permission
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