The controversy surrounding LA Clippers owner Steve Ballmer and Kawhi Leonard's endorsement deal with the now-bankrupt company Aspiration continues to deepen. Recent reports reveal a second, significant investment by Ballmer into Aspiration, raising further questions about the nature of his involvement and the potential circumvention of the NBA salary cap.
Ballmer initially claimed he was unaware of the specifics of Leonard's $48 million endorsement deal with Aspiration, a deal that included a substantial portion in company stock. He stated that his initial $50 million investment was a personal loss, and that the Clippers severed ties with Aspiration after the company defaulted on its obligations. However, this narrative is now being challenged.
A new report from The Athletic exposes Ballmer's second, almost $10 million investment in Aspiration in March 2023 – a time when the company's financial troubles were evident. This investment, made alongside other Aspiration investors and minority Clippers owner Dennis Wong (who invested $2 million shortly before Leonard received a delayed payment), suggests a deeper connection than Ballmer's previous claims.
The timing of Ballmer's investment and the subsequent payment to Leonard is particularly damning. The closeness of these events raises suspicions that the investment may have been connected to ensuring Leonard's continued payments, potentially violating NBA salary cap rules. While the precise timing of Leonard's final payments remains unclear, he is currently a creditor in Aspiration's bankruptcy proceedings, claiming $7 million still owed.
The NBA's investigation continues, and Commissioner Adam Silver has emphasized the need for conclusive proof of wrongdoing. Yet, the growing body of evidence linking Ballmer's investments, Wong's contribution, and Leonard's payments strongly suggests a deliberate attempt to funnel extra money to the star player outside his official contract. While officially, Ballmer maintains the investments were personal and unrelated to Leonard, the accumulation of circumstantial evidence paints a compelling and increasingly incriminating picture. The league is anticipated to take significant action against the Clippers, potentially including fines, draft pick forfeitures, executive suspensions, and even a review of Leonard's contract, although the latter remains a less likely outcome.
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Originally published at: https://www.nbcsports.com/nba/news/report-steve-ballmer-made-a-second-10-million-investment-into-failing-company-that-endorsed-leonard
