NBA Punishes LA Clippers With Historic Fine and Loss of Five First-Round Picks
- The Los Angeles Clippers face fallout following a conclusion by the NBA that the organization knowingly circumvented the league salary cap through unauthorized "no-show" endorsement deals for former...
- The NBA levied a $30 million fine against the Clippers and stripped the franchise of five first-round draft picks in the 2029, 2030, 2031, 2032, and 2033 drafts.
- Investigators detailed multiple transgressions throughout the official document, noting that the Clippers introduced Leonard to corporate sponsor representatives who simultaneously signed him to endorsement deals.
The Los Angeles Clippers face fallout following a conclusion by the NBA that the organization knowingly circumvented the league salary cap through unauthorized “no-show” endorsement deals for former star forward Kawhi Leonard, according to an investigation report released on Wednesday, Sept. 2, 2026. According to the 36-page document from the law firm Wachtell, Lipton, Rosen & Katz, the 11-month league probe determined that team owner Steve Ballmer, president of business operations Gillian Zucker, and president of basketball operations Lawrence Frank were the three individuals most responsible for the rule-breaking.
Penalties and Roster Consequences for the Clippers
The NBA levied a $30 million fine against the Clippers and stripped the franchise of five first-round draft picks in the 2029, 2030, 2031, 2032, and 2033 drafts. Additionally, team owner Steve Ballmer has been suspended from all league activities for one year, while Kawhi Leonard was fined $700,000 without receiving a suspension. A proposed trade sending Leonard to the Toronto Raptors currently sits on hold. If that trade eventually proceeds, Los Angeles is slated to receive Brandon Ingram, Gradey Dick, two unprotected first-round picks, two second-round picks, and a 2027 first-round pick swap. Without the trade completed, Spotrac data indicates that roughly half of the Clippers’ salary cap space for the season is committed to guards Ingram and Darius Garland, who combine to make over $82 million.
Investigation Findings and Prior Infractions
Investigators detailed multiple transgressions throughout the official document, noting that the Clippers introduced Leonard to corporate sponsor representatives who simultaneously signed him to endorsement deals. The report also states that team executives repeatedly delayed and attempted to obfuscate the NBA’s access to case information, though investigators noted the organization denied agreeing to requests from a Leonard relative for prohibited benefits under the collective bargaining agreement. The franchise carries a history of similar disciplinary action, having received a $250,000 fine in 2015 for attempting to facilitate an endorsement deal for free agent DeAndre Jordan.
Potential for Further Revelations
Independent journalist Pablo Torre, whose initial reporting sparked the league inquiry, stated on his Sept. 2 podcast, “There is more to come than is in the NBA report … This is not everything.” Torre noted that the official league document references an unidentified second player, and the NBA issued a companion statement acknowledging that additional information is likely to surface over time.