NBA Strips Clippers of Five Draft Picks and Suspends Steve Ballmer for a Year
The largest penalty in league history punishes a years-long effort to funnel off-court money to Kawhi Leonard.
Pablo Torre Finds Out · Clippers Judgment Day, the NBA's Hammer and the Investigation That Never Ends: Kawhi-Gate, Part XVThe NBA has stripped the Los Angeles Clippers of five first-round draft picks and fined the team $30 million for funneling off-court money to star forward Kawhi Leonard in violation of salary cap rules.
The forfeited picks are one in each draft from 2029 through 2033. Commentators on a sports podcast covering the report called it the largest punishment in NBA history.
Clippers owner Steve Ballmer, the billionaire former Microsoft chief, was barred for one year from taking part in any team or league business for knowingly helping Leonard obtain off-court income and failing to make his organization follow the rules. That means no games, no practices, no owners meetings, and no entry into his own arena.
Team business president Gillian Zucker was barred for a year with no pay, and basketball operations president Lawrence Frank was barred for six months with no pay. Investigators found Zucker was primarily and directly culpable for the improper endorsement deals and gave false and misleading statements, while Frank took accountability and said the failure was on him.
Leonard was ordered to pay the league $700,000. His uncle, Dennis Robertson, known as Uncle Dennis, was banned for five years. According to the Wachtell report, Ballmer “knowingly sought to help Mr. Leonard obtain off-court income opportunities” and approved a business deal that investigators said was a precondition for an endorsement deal for Leonard, and permitted “a culture in his organization” that allowed multiple endorsement agreements between Leonard and team partners. Leonard, through Robertson, pressured the team for years to help him get off-court income and failed to repay personal expenses the team paid.
The Clippers, in a letter to Commissioner Adam Silver, called the investigation flawed from the outset, inexcusable, and a witch hunt, and said they would explore every legal remedy. In an earlier statement, the team called the findings biased and predetermined and vowed to challenge them through arbitration.
Questions people ask
What does losing five first-round picks actually do to a team?
It means the Clippers have no first-round selections in 2029, 2030, 2031, 2032, or 2033 to use or to trade. First-round picks are the selections at the top of each annual draft of young players.
Can Steve Ballmer still run the Clippers during his suspension?
No. The suspension bars him from games, practices, league meetings, and team activities, including entering his own arena. The organization was also placed under a compliance and monitoring program.
What is salary cap circumvention?
The NBA limits what teams can pay players so rich teams cannot simply outspend everyone else. Payments from team business partners, free private flights, or unrepaid personal expenses can count as salary, and hiding them is called circumvention.
Will the Clippers appeal?
The Clippers say they will vigorously challenge the findings and want an impartial arbitration. David Samson, a host of the podcast discussing the report commenting from his experience in baseball, said there is no arbitration process available to Ballmer, and the league and the team would both have to agree to arbitrate. The only option left, he said, would be court.