Allegations against Steve Ballmer and the Los Angeles Clippers regarding Kawhi Leonard`s acquisition are mounting. Reports, notably by Pablo Torre, suggest Ballmer allegedly funneled $28 million to Leonard through Aspiration, a now-bankrupt sustainability company that Ballmer had previously injected $50 million into. Leonard reportedly also received an additional $20 million in company shares.
This arrangement is suspected to be a scheme by Ballmer to pay Leonard beyond the NBA`s salary cap, constituting an illegal circumvention. The NBA has hired a law firm and is currently investigating these serious accusations.
The fallout could range from a minor fine, which Ballmer could easily absorb, to significant draft pick losses. The most severe outcome, fueled by ongoing revelations from Torre, could be the voiding of Leonard`s contract. This would mirror the 2000 Joe Smith scandal, where the Minnesota Timberwolves secretly promised a massive future contract to bypass salary cap rules. That case resulted in the Timberwolves losing three first-round picks, a $3.5 million fine, the voiding of Smith`s contract, a suspension for owner Glen Taylor, and a leave of absence for GM Kevin McHale. The author muses about a chaotic scenario where Leonard`s contract is voided, potentially leading him to join a contender for the league minimum.
Even a moderate penalty of three lost draft picks, when combined with the five picks already traded for Paul George to secure Leonard, would mean Leonard has ultimately cost the Clippers a staggering eight first-round picks. Furthermore, the trade for Leonard involved giving up Shai Gilgeous-Alexander, who has since become an MVP-caliber player. While acquiring Leonard and George seemed like a necessary move at the time given their star power, hindsight reveals a significant basketball cost. The Clippers haven`t achieved a championship with Leonard, while SGA`s team (Oklahoma City Thunder) now has a stronger foundation.
With the growing potential for penalties from the circumvention allegations, the overall cost of Kawhi Leonard to the Clippers, both in terms of basketball assets and potential legal repercussions, is increasingly appearing unjustifiable.
Beyond basketball considerations, the financial implications are complex. While Ballmer`s investment has seen the Clippers` valuation skyrocket, it`s debatable how much Leonard and George directly contributed versus the inherent value of the Los Angeles market. The team was already strong, suggesting that the L.A. market itself drives most of the franchise`s business success.
Ultimately, the Kawhi Leonard era has largely been a basketball disappointment for the Clippers, and the current allegations threaten to inflict long-term damage. Should NBA Commissioner Adam Silver impose severe penalties following the investigation, the Clippers could face a long and arduous path to recovery, far beyond the optimistic outlook they had when acquiring Leonard years ago.
