NBA is looking into claims of salary cap circumvention<\/p>\n
ESPN says league has no proof owner funneled money<\/p>\n
Steve Ballmer denies allegations; Leonard trade on hold<\/p>\n
The NBA has disputed an ESPN report on the league\u2019s investigation into possible salary cap circumvention by the Los Angeles Clippers.<\/p>\n
On Monday, ESPN reported that, after an 11-month investigation, the NBA was not able to show proof that Clippers owner Steve Ballmer funneled money to Kawhi Leonard via team sponsorships to bypass the salary cap. The outlet also said the two sides have been \u201cnegotiating a resolution to the investigation\u201d.<\/p>\n
\u201cESPN\u2019s article regarding the LA Clippers investigation \u2013 for which the NBA declined to cooperate \u2013 contains numerous and significant inaccuracies,\u201d league spokesperson Mike Bass said in a statement released Monday afternoon. \u201cThe results in this matter will be made clear once the investigation is concluded.\u201d<\/p>\n
The league did not clarify which parts of ESPN\u2019s reporting it was disputing.<\/p>\n
Per the ESPN report, the NBA is looking into \u2060whether introducing Leonard \u2060to team sponsors violates \u200bthe league\u2019s rules against salary cap circumvention, and if the Clippers committed a \u201cfailure to supervise\u201d regarding their employees. What rule the organization may \u2060have violated or the potential punishment is not yet known.<\/p>\n
The allegations first came to light last September in a report by journalist Pablo Torre. The Clippers were accused of feeding $28m to Leonard in the form of a \u201cno-show\u201d endorsement deal with Aspiration, a green-banking firm partly funded by Ballmer that went bankrupt last year.<\/p>\n
Aspiration and three other companies that also signed sponsorship deals with \u2060the Clippers have been involved in the investigation, per the ESPN report. Aspiration\u2019s co-founder wound up in \u200cprison after pleading guilty \u200cto fraud charges involving $248m.<\/p>\n
According to ESPN, the league presented its initial findings late last month and \u200chas recently been in the process of resolving the investigation, which began last September.<\/p>\n
In a statement to ESPN, the Clippers said the team \u201cintroduced players, including Kawhi Leonard, to companies with which we had business relationships. Making introductions between players and team partners is both an ordinary practice by NBA teams and a common request \u200cof players and representatives.\u201c<\/p>\n
According to the statement, the Clippers did not \u201cnegotiate or dictate\u201d the terms of Leonard\u2019s endorsement deals and added that a player-company business relationship does not \u200bprove any salary-cap circumvention.<\/p>\n
The Toronto Raptors, who lost Leonard in free agency after winning the 2019 NBA championship, agreed in principle at the end of June to bring him back. The deal hasn\u2019t been completed, and the NBA made it clear Toronto \u201cwould assume the risk of any potential outcome \u2060of the investigation impacting Kawhi\u201d.<\/p>\n
\u201cIn light of this,\u201d the Raptors stated, \u201cwe will wait \u200buntil the league\u2019s investigation is complete.\u201d<\/p>\n