Overview

• The investigation follows Pablo Torre’s reporting of a four-year, $28 million agreement between Aspiration and KL2 Aspire LLC, which lists Kawhi Leonard as manager.
• Contract documents cited in the reports include clauses allowing Leonard to decline promotional duties and conditioning payment on his status with the Clippers, with funds routed to advisor Dennis Robertson.
• Bankruptcy filings from March list KL2 Aspire LLC as a creditor owed $7 million by Aspiration, which had previously been a Clippers sponsor and received a personal investment from Ballmer.
• Ballmer told ESPN he introduced Aspiration to Leonard but said he had no knowledge of the contract’s terms, characterized himself as a victim of Aspiration’s fraud, and said he welcomes the league’s inquiry.
• The Clippers deny any salary-cap circumvention and say they will cooperate, the DOJ has disclosed a guilty plea by an Aspiration co-founder in a separate fraud case, and the NBA has not announced findings or penalties.