Clippers lose five picks, Ballmer suspended for one year
The Clippers have been hit with historic penalties after the NBA found they violated salary-cap circumvention rules tied to Kawhi Leonard. Los Angeles must forfeit five first-round picks from 2029 through 2033, pay a $30 million fine, and see owner Steve Ballmer suspended for one year.
Key Takeaways
- The Clippers forfeit first-round picks in 2029, 2030, 2031, 2032, and 2033 and face a $30 million fine.
- Owner Steve Ballmer is suspended from all league and team activities for one year.
- Gillian Zucker (one year) and Lawrence Frank (six months) are suspended without pay; Leonard must pay $700,000.
- An independent probe by Wachtell, Lipton, Rosen & Katz found a pattern of misconduct involving off-court deals with team partners.
- The NBA and NBPA agreed the penalties are final and binding.
What did the NBA find the Clippers did wrong?
According to the league, investigators concluded the franchise broke circumvention rules by initiating off-court income opportunities between Leonard and four companies tied to team business: Aspiration Partners, Boingo Wireless, Daktronics, and Lockton Insurance. Officials said the Clippers facilitated endorsement deals, induced those companies by offering team business, paid personal expenses for Leonard and his representatives, and failed to report improper solicitations made through then-business manager Dennis Robertson.
Commissioner Adam Silver said he was “deeply disappointed” by the “flagrant violations” and by “institutional and leadership failures,” adding that the severity of the penalties matches the seriousness of the misconduct. Coverage of the ruling is also tracking across sports and Future Tech & AI Wonders as fans weigh the long-term hit to a franchise already under scrutiny.
Who was punished and for how long?
Beyond the five forfeited first-round selections and the $30 million team fine, Ballmer’s one-year ban covers all league and team activities. The NBA said he knowingly sought to help Leonard obtain off-court income, approved a business deal he knew was a precondition for Aspiration’s endorsement agreement with Leonard, and failed to ensure the organization followed circumvention rules.
President of business operations Gillian Zucker received a one-year unpaid suspension for primary culpability in the impermissible endorsement arrangements and for providing false and misleading statements to investigators. President of basketball operations Lawrence Frank was suspended without pay for six months for involvement in those arrangements and for approving impermissible expenses for Leonard and his family. The organization also faces a five-year compliance and monitoring program overseen by the league office.
Leonard must pay the league $700,000. He was not suspended. Robertson is banned for five years from conducting business with NBA teams and affiliates on behalf of any player or league personnel. Full details are outlined in the Hoops Rumors report on the league announcement.
What happens next for Kawhi Leonard and the Clippers?
Leonard, through new agent Harrison Gaines, said via the NBPA that he entered the Clippers contract and related agreements in good faith, accepted responsibility for “lapses in judgment” in his inner circle, and is “moving forward with a clean slate” as he returns to Toronto. The Clippers had agreed to trade Leonard to the Raptors for Brandon Ingram, Gradey Dick, two first-round picks, a pick swap, and two second-round selections; Toronto waited to make the deal official until the investigation finished. With Leonard cleared to train and play, that trade is expected to be announced shortly.
The NBA noted the Clippers are a prior offender of salary-cap circumvention rules, citing a 2015 fine related to DeAndre Jordan. Wachtell Lipton continues to receive information, and the league said it may consider further action if warranted.