NBA disputes report on Clippers salary-cap investigation

The NBA is disputing an ESPN report regarding its ongoing investigation into the Los Angeles Clippers and Kawhi Leonard. While ESPN reported that investigators found no evidence that Clippers owner Steve Ballmer funneled money through team sponsors to circumvent the salary cap, the NBA issued a forceful statement claiming the report contains “numerous and significant inaccuracies.”

The investigation, led by the law firm Wachtell, Lipton, Rosen & Katz, centers on whether Leonard’s endorsement deals—specifically a $28 million deal with the now-bankrupt company Aspiration—were used as a method of undisclosed compensation. Even if direct evidence of money funneling is absent, the league is reportedly examining whether the Clippers violated rules by introducing Leonard to corporate partners or failed to properly supervise employees.

The Clippers have denied all allegations, stating they did not negotiate or dictate the terms of Leonard’s endorsement agreements. The unresolved investigation has also stalled a major trade that would send Leonard to the Toronto Raptors in exchange for Brandon Ingram and other assets.