The story hit like a siren. A report says Kawhi Leonard took $28 million through a no show endorsement arrangement connected to a company funded in part by Clippers owner Steve Ballmer. The money did not hit the official cap sheet. It allegedly sat off the books. The team says the claim is not true.
What the report claims
A journalist presented documents on his show that tie Leonard’s company, KL2 Aspire LLC, to a four year, $28 million endorsement deal with a now bankrupt tree focused brand that had a business relationship with the Clippers. According to the reporting, the contract allowed Leonard to get paid while he was a Clipper even if he did not perform any work. Public posts from Leonard promoting the brand are hard to find. That is part of why the deal has raised so many eyebrows.
The timeline matters. An investment connected to the company came in 2021. Later that year the team announced a sponsorship, and in 2022 the endorsement deal tied to Leonard’s LLC was signed, per the documents described on the show. The company later went bankrupt in 2025.
“Any contrary assertion is provably false.”
— from the Clippers statement responding to the allegation
How the Clippers responded
The team pushed back hard. In a statement, the Clippers said neither Ballmer nor the franchise circumvented league rules and that any suggestion otherwise is provably false. They also said the organization ended its relationship with the company during the 2022 to 2023 season when the company defaulted on its obligations. The league has not announced action as of today.
There is also context from years ago. In 2019 the league looked into complaints about improper benefits during Leonard’s free agency but did not find violations by the Clippers. The new reporting claims fresh documents and interviews, which is why this is back in the news now.
What the rules say and what could happen next
The Collective Bargaining Agreement bans extra side benefits that act like secret salary. If the league finds cap circumvention it can fine teams, take draft picks, suspend executives, or even void deals. The most famous example is the Joe Smith case with Minnesota that cost five first rounders and millions in fines. That is the bar for how serious this can get if proof is clear.
Two other details sit in the background of this story. First, fans dug up old team posts that linked the Clippers and the tree brand in promotions about planting trees. Second, social media clips from the show are everywhere, which is keeping the pressure hot. None of that is proof on its own. It only shows why this topic will not cool off.
