NBA strips Clippers of five first-round picks in Kawhi Leonard cap case

The NBA has fined the LA Clippers $30 million and ordered the franchise to forfeit five first-round draft picks after finding salary-cap circumvention violations involving Kawhi Leonard. The league announced the penalties on Wednesday, with one first-round selection removed in each draft from 2029 through 2033. Owner Steve Ballmer was also suspended from all league and team activities for one year.

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According to an official NBA release, the findings came from an independent investigation conducted by the law firm Wachtell, Lipton, Rosen & Katz. The league said the Clippers initiated off-court income opportunities between Leonard and four companies doing business with the team: Aspiration Partners, Boingo Wireless, Daktronics and Lockton Insurance. It also found that the franchise facilitated endorsement agreements and offered team business to encourage those arrangements.

The NBA further said the Clippers paid personal expenses for Leonard and his representatives and failed to report improper requests made through Leonard's former business manager, Dennis Robertson. Leonard was ordered to pay the league $700,000. Robertson was barred for five years from conducting business or engaging with NBA teams and affiliates on behalf of a player or other league or team personnel.

Two senior Clippers executives received unpaid suspensions. President of Business Operations Gillian Zucker was suspended for one year, while President of Basketball Operations Lawrence Frank was suspended for six months. The NBA said Zucker was directly involved in the impermissible endorsement arrangements and gave false or misleading statements to investigators. Frank was penalized over his involvement in those arrangements and approval of improper expenses. The organization will also face league compliance monitoring for five years.

The Associated Press reported that the nearly yearlong inquiry began in September 2025 after questions were raised about a $28 million endorsement contract between Leonard and Aspiration Fund Adviser, a company that later entered bankruptcy. The NBA said Ballmer knowingly helped Leonard pursue off-court income and approved a business agreement he knew was a condition for Aspiration to enter an endorsement deal with the player.

The Clippers rejected the findings in a statement reported by AP and said they intended to challenge the penalties through every available avenue. However, the NBA said it and the National Basketball Players Association had agreed that the penalties are final and binding on all parties. The law firm continues to receive information relevant to the case, and the league said it could consider further action if warranted.