After months of investigation, deliberation and having to keep up with “Pablo Torre Finds Out”, the NBA finally decided to levy its punishment on Steve Ballmer, Kawhi Leonard and the Los Angeles Clippers organization for their salary cap circumvention and did so in historic fashion on Wednesday.
The competitive sanctions imposed on the organization are the most significant. The league ruled that the Clippers are to forfeit first round picks in five NBA Drafts (2029-2033), putting the franchise in an even more precarious position than they already were in terms of future assets after leveraging their future to acquire Leonard in the first place. The franchise must also pay a $30 million fine.
Reporting on the NBA’s severe salary cap circumvention punishment to the LA Clippers and what’s next for Steve Ballmer as well as the Kawhi Leonard trade to the Raptors: pic.twitter.com/oiDIS9nF2V
— Shams Charania (@ShamsCharania) September 2, 2026
Ballmer, the team’s governor, is suspended for one-year for his role in the offense. Clippers President of Business Operations Gillian Zucker was also handed a one-year suspension without pay, and President of Basketball operations Lawrence Frank was suspended for six months without pay.
“The NBA’s collectively bargained system for determining player compensation is a fundamental component of the basketball competition that the league oversees for the benefit of the teams and players and ultimately the fans,” NBA Commissioner Adam Silver said in a statement. “I am deeply disappointed by the flagrant violations of our rules and by the Clippers’ institutional and leadership failures that led to this misconduct. The severity of the penalties reflects the seriousness of the violations.”
The penalties are final and there is no appeal process through the NBA, according to the league and its players’ union. Ballmer is a billionaire 100 times over and could attempt to appeal to courts, but there is no indication or precedent for such a legal maneuver.
Hearing From The Defense
Following the announcement of the penalties handed down by the NBA, the Clippers released a statement that was a firm and unequivocal denial of the league’s claims.
“We vehemently reject the NBA’s findings, which are the result of a heavily biased investigation seeking to justify a predetermined narrative rather than facts and evidence,” the statement read. “What the league told us privately differs from what it announced today publicly, and they have not held themselves close to the standard Commissioner Silver set at the start of this investigation to ensure its fairness and accuracy.
“For the past year, we cooperated fully and in good faith and we will now fight just as hard to demonstrate our innocence/ We intend to vigorously challenge these findings and penalties through every avenue available to us and look forward to an ethical and impartial arbitration process.”
“The full expectation around the Raptors and around Kawhi Leonard and the league is that this trade will be going through in the next few days.”
—@ShamsCharania on the status of Kawhi Leonard’s trade to the Raptors following the NBA’s investigation
pic.twitter.com/cQlj8w5OaV
— SportsCenter (@SportsCenter) September 2, 2026
Leonard’s Law
The punishment for Leonard is relatively mild, at least compared to the laundry list that the Clippers’ organization and brass received. Leonard is required to pay the league a fine of $700,000, while “Uncle Dennis” Robertson is banned from conducting business with NBA teams, affiliates and players for the next five years. Leonard also released a statement through his agent on Wednesday, also making his best attempts to rub his hands clean of the situation.
“Integrity and respect for this game are fundamental to who I am,” Leonard’s statement read. “I accept full responsibility for lapses in judgment by people within my inner circle and regret the distraction this situation has caused the fans and my family.
“I entered into my contract with the Clippers as well as the agreements in question in good faith, fully committed to fulfilling my obligations and with no knowledge of any intent on anyone’s part to circumvent the salary cap. For 15 years, my priority has been giving everything to my family, the game, and those I share the court with. As I return to Toronto, I am focused on what I can control, closing this chapter, and moving forward with a clean slate.”
When you combine the historic trade packages the Clippers gave up to acquire Kawhi and the punishment the organization received for these cap circumvention violations, the total cost of the Kawhi era was 10 first-round picks, two swaps and a two-time MVP in Shai Gilgeous-Alexander. All of that to win two playoff series and none after people stopped social distancing.
Leonard, a local product from King (Riverside, Calif.) and San Diego State, had the franchise in a literal vise-grip in order to please him and make him feel comfortable while trying to win a NBA championship. Ironically, he will figuratively have them handcuffed for years to come while no longer being associated with the franchise.
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