Likely Punishments for Clippers if Found Guilty in Kawhi Leonard Investigation

The LA Clipper are expected to receive a few punishments for the Kawhi Leonard and Aspiration allegations

Apr 11, 2025; Sacramento, California, USA; Los Angeles Clippers forward Kawhi Leonard (2) during the fourth quarter against the Sacramento Kings at Golden 1 Center. Mandatory Credit: Darren Yamashita-Imagn Images | Darren Yamashita-Imagn Images

The LA Clippers have thrown themselves into quite a situation this offseason, putting a significant damper on their impressive roster moves. The Clippers added stars like Bradley Beal, John Collins, Chris Paul, and Brook Lopez this summer, but their recent situation with Kawhi Leonard, Steve Ballmer, and Aspiration has completely shifted the narrative.

Kawhi Leonard and Aspiration

In summary, Kawhi Leonard had a "no-show job" endorsement deal with Aspiration, a fraudulent company that was funded, in part, by Clippers owner Steve Ballmer. Leonard agreed to be paid $28 million over four years, but never endorsed the company in any way, and the Clippers are being accused of attempting to circumvent the salary cap.

Exclusive: Kawhi Leonard signed a $28M endorsement deal for a "no-show job" with a fraudulent tree-planting company funded by $50M from Clippers owner Steve Ballmer, according to documents obtained by @PabloTorre.

"It was to circumvent the salary cap," an inside source says. pic.twitter.com/F6z5pNEkI1

— Pablo Torre Finds Out (@pablofindsout) September 3, 2025

More details have since come out, like Clippers co-owner Dennis Wong investing a random $2 million into Aspiration while Leonard's $1.75 million payment was running late, as the hole for the Clippers continues to be dug deeper.

Potential punishment

The NBA announced that they have launched an investigation into this situation, and many have begun to question what the Clippers' punishment could be if they are found guilty of wrongdoing.

Source: The NBA has hired the law firm Wachtell, Lipton, Rose and Katz to investigate the Clippers-Kawhi Leonard situation.

Story w/ @joevardon and @MikeVorkunov, @TheAthletic

This is the same firm that investigated Donald Sterling and Robert Sarver.https://t.co/M3QBgmiBRa

— Sam Amick (@sam_amick) September 5, 2025

The Athletic's John Hollinger recently reported the three significant punishments that are "almost a given" for the Clippers.

"So, that’s the landscape facing Adam Silver right now if he and an independent arbitrator both deem the Clippers guilty of cap circumvention. If so, the loss of several draft picks and a fine and year-long suspension for Ballmer are almost a given," Hollinger wrote.

The "loss of several draft picks" could reportedly entail five first-rounders, which is the absolute maximum the Clippers could lose, along with second-round picks if the NBA deems necessary. The fine for the Clippers would be up to $7.5 million, which is more of a slap on the wrist for the multi-billion-dollar organization, and the one-year suspension for Ballmer does not seem too significant either.

The punishments that are “almost a given” if the Clippers are found guilty of cap circumvention, per @johnhollinger:

- Loss of several draft picks
- A fine
- One year suspension for Ballmer

(via https://t.co/EGUk7TSP4o) pic.twitter.com/9YbzpIggAu

— APHoops (@APH00PS) September 16, 2025

While those three are the most likely punishments for the Clippers, there are a few more possibilities that the NBA could ultimately hammer down on LA, with some more severe than others. Here is the full list of potential punishments, per Hollinger:

• Fine the Clippers up to $7.5 million
• Fine Kawhi Leonard up to $350,000
• Suspend Ballmer or other Clipper personnel up to a year and fine them up to $1 million each
• Void Leonard’s contract and prohibit him from re-signing with the Clippers
• Require Leonard to return the money he received from Aspiration.

Oct 14, 2024; Inglewood, California, USA; LA Clippers owner Steve Ballmer reacts in the game against the Dallas Mavericks during the first half at Intuit Dome. Mandatory Credit: Jonathan Hui-Imagn Images | Jonathan Hui-Imagn Images

The most extreme, of course, would be to void Leonard's contract, which would allow him to hit the open market and sign with a new team for next to nothing. There are also questions about what this would do to the Clippers, as if it takes his contract off the books completely, it might actually help them. Then, there is the scenario where they void his contract but keep that money on their books.

Regardless, the punishment of voiding Leonard's contract would do more harm than good for the NBA as a whole, but the Clippers are still likely to be handed a few punishments for this situation.