NBA pauses Kawhi Leonard trade to Toronto pending league investigation into Clippers
The league is investigating whether the Los Angeles Clippers used a bankrupt green banking company to secretly pay Leonard $28 million outside the salary cap in 2019.
The day's top stories, food & events — every morning at 7. Unsubscribe anytime.
The Toronto Raptors' planned trade to acquire Kawhi Leonard from the Los Angeles Clippers is on hold while the NBA completes an investigation into whether the team used a third-party company to secretly pay the player outside the salary cap.
On June 30, Toronto sent Brandon Ingram, Gradey Dick, two unprotected first-round picks (2031 and 2033), and two second-round picks (2030 and 2033) to the Clippers in exchange for the 35-year-old small forward. The two teams were set to finalize the deal this week, but the league intervened and said the trade could not be completed until the investigation concludes.
The league is investigating whether Aspiration, a now-bankrupt green banking company in which Clippers owner Steve Ballmer invested, allegedly provided Leonard with a $28-million "no-show" endorsement deal that was off the books when he signed with the Clippers in free agency in 2019.
It is illegal under the NBA's Collective Bargaining Agreement for any player to receive compensation or any financial arrangement outside their official contract. Raptors said in a statement that they will not take on the associated risks of the trade proceeding while under investigation and will wait until the league's investigation is complete. "We remain eager to bring Kawhi back to Toronto and look forward to a swift resolution for our players, our organization, and our fans," the team said.
