Clippers Scandal Deepens: Kawhi Leonard’s $28M ‘No-Show’ Deal with Fraudulent Fintech Raises NBA Salary Cap Questions

LOS ANGELES, CA – The Los Angeles Clippers are reeling from a bombshell investigation into a $28 million endorsement deal between star forward Kawhi Leonard and the now-defunct fintech company Aspiration, which federal authorities have labeled a fraudulent operation. What started as a “green” banking venture backed by celebrities and the Clippers’ billionaire owner Steve Ballmer has exploded into allegations of salary cap circumvention, drawing an NBA probe and putting Leonard’s reputation—and the franchise’s future—under intense scrutiny. Clippers head coach Tyronn Lue’s uneasy response to questions about the scandal has only amplified the chaos, as Leonard remains silent amid whispers of financial impropriety.

The story, first detailed in investigative journalist Pablo Torre’s September 3, 2025, podcast episode, paints a picture of a sweetheart deal where Leonard allegedly received millions for doing nothing, potentially funded by Ballmer’s personal investment. With the NBA’s investigation underway, the Clippers—already plagued by injuries and inconsistent performance—face possible fines, lost draft picks, or even contract voids that could upend their roster.

The Rise and Fraudulent Fall of Aspiration

Aspiration, founded in 2013 by investor Joe Sanberg and former Clinton speechwriter Andre Churny, marketed itself as an eco-friendly alternative to traditional banks. It promised debit cards that planted trees with every purchase, carbon-neutral credit cards, and spending that funded reforestation. The pitch lured high-profile endorsers like Leonardo DiCaprio, Robert Downey Jr., Drake, Cindy Crawford, and Orlando Bloom, who signed multimillion-dollar deals to promote its “green” mission.

By 2021, Aspiration had raised over $600 million, hit a $2.3 billion valuation, and inked a $300 million sponsorship with the Clippers, including jersey patches and branding at the team’s new Intuit Dome arena. The company even bid nearly $1 billion for naming rights before settling on a $550 million offer. But federal probes revealed it was a house of cards: exaggerated environmental impacts, misused investor funds, and Ponzi-like schemes that defrauded stakeholders of over $248 million.

Sanberg pleaded guilty to wire fraud in August 2025, admitting to falsifying financials to attract capital. The company’s Chapter 11 bankruptcy filing in March 2025 listed $500 million in liabilities against just $50 million in assets, with major creditors including the Clippers ($30 million), Ballmer’s company ($11 million), and Leonard’s shell entity, KL2 Aspire LLC ($7 million owed).

Leonard’s Lucrative ‘No-Show’ Endorsement

At the scandal’s center is Leonard’s April 2022 contract with Aspiration, a four-year deal paying $28 million ($7 million annually) through his LLC. Documents show $21 million was disbursed before the collapse, but former employees told Torre that Leonard delivered zero value: no public appearances, no social media posts, no interviews, and no Aspiration-branded gear. “The grand total number of times that I found Kawhi Leonard ever publicly referencing Aspiration was… zero,” Torre reported after reviewing thousands of documents.

The contract included escape clauses for every “key performance indicator” (KPI), allowing Leonard to opt out of promotions without penalty. This stood in stark contrast to other celebrities: DiCaprio praised the company in statements, Downey Jr. voiced ads, and Drake called it “inspiring.” Even Clippers coach Doc Rivers (Leonard’s former boss) participated in events. Leonard’s payout dwarfed theirs—$28 million in cash plus $20 million in stock options (potentially $48 million total)—making it the largest by far.

Suspicion mounted due to the deal’s ties to the Clippers. In September 2021, Ballmer invested $50 million personally in Aspiration via his LLC. Weeks later, the team announced the sponsorship. Months after, Leonard’s LLC was formed, and the endorsement signed. Ex-employees described it as a “round trip”: Ballmer’s cash flowed into Aspiration, enabling the payout to Leonard. “That enormous infusion of money from Steve Ballmer… is what allowed the allegedly fraudulent Green Bank to quite eagerly pay Kawhi Leonard $28 million for an alleged no-show job,” Torre noted.

Leonard’s uncle and business manager, Dennis Robertson, was the key negotiator—listed as the contact for legal notices and demanding priority payments even as Aspiration crumbled. This echoed 2019 free-agency complaints when teams accused Robertson of seeking improper perks like housing and equity. The NBA investigated then but cleared the Clippers; now, those red flags have resurfaced.

Coach Lue’s Uneasy Response and NBA Probe

The scandal broke amid the Clippers’ 2025-26 preseason preparations, forcing coach Tyronn Lue into the spotlight. When pressed on Leonard’s deal during a media session, Lue appeared visibly uncomfortable, pausing before saying, “Um, what does that… what does that say to you?” His measured tone conveyed frustration, as the team—already reliant on the injury-prone duo of Leonard and Paul George—now faces existential threats.

The NBA acted swiftly on September 3, hiring the law firm WilmerHale (which probed past scandals like Donald Sterling’s) to investigate cap circumvention. Under league rules, all player compensation must be disclosed and count against the salary cap; third-party deals can’t mask extra pay. Precedents include the Clippers’ $250,000 fine in 2015 for recruiting DeAndre Jordan improperly and the Pelicans’ $10 million tampering penalty in 2019.

Potential penalties: multimillion-dollar fines, forfeited draft picks, executive suspensions, or voiding Leonard’s contract. Ballmer, the NBA’s richest owner (net worth $121 billion), insists he was defrauded. “These were guys who committed fraud. How would I be [conned]? I reviewed… primarily fraudulent financials,” he told ESPN on September 5. He claims the deals were sequential and independent: Leonard’s extension signed first (August 2021), then the sponsorship, then the introduction to Aspiration. His investment was a separate “business decision” based on falsified docs, yielding less than 3% ownership with no control.

The Clippers echoed this in a statement: “Neither Mr. Ballmer nor the Clippers circumvented the salary cap or engaged in any misconduct related to Aspiration. Any contrary assertion is provably false.” They ended the sponsorship in 2022-23 after defaults and are cooperating with probes, including federal fraud investigations.

Leonard and Robertson have stayed silent, fueling speculation that the uncle drove the deal. Ex-Aspiration staff called Robertson “priority one,” with weekly payment meetings prioritizing Leonard amid financial woes.

Skepticism, Leonard’s Image, and Broader NBA Implications

Critics aren’t buying Ballmer’s victim narrative. The timeline—Ballmer’s investment mirroring Leonard’s payout—seems too coincidental for a savvy billionaire. “If you had $48 mil to offer somebody to be a spokesman, you could get almost anybody… And they picked the guy with none,” one analyst quipped, noting Leonard’s reclusive nature. Famous for driving a decade-old Chevy Tahoe and fretting over lost Wingstop coupons, Leonard shuns endorsements; this deal contradicts his frugal image.

The scandal exposes vulnerabilities in the NBA’s player-empowered era, where superstars like Leonard (a two-time Finals MVP) dictate terms. Since 2019, he’s played under 60% of games due to injuries and load management, yet the Clippers have bent over backward to accommodate him. If proven, this could be the ultimate perk: millions for loyalty without work.

Broader concerns: The league’s cap relies on self-reporting; if such schemes evade detection, competitive balance crumbles. Large-market teams like the Clippers already flout luxury taxes ($100M+ annually). This could spur stricter CBA rules in upcoming negotiations.

Aspiration’s fraud also highlights “greenwashing” in fintech, with less than 5% of funds going to eco-projects despite celebrity hype. Leonard’s silence—tens of millions for nothing—epitomizes celebrity complicity.

The NBA probe continues, with updates expected mid-season. For now, the Clippers open the season under a cloud, their championship aspirations tangled in a web of finance, fraud, and funneled funds. Leonard’s legacy hangs in the balance: from quiet assassin to potential cap schemer?