Back in 2000, The NBA punished the Timberwolves and forfeited 5 of their first round picks (2 were later returned), fined them 3.5 million, their owner suspended, and their GM was forced to take a leave of absence after the Wolves were found to have circumvented the cap for Joe Smith.
Here are the penalties when the Minnesota Timberwolves were found to have circumvented the salary cap to sign Joe Smith:
-5 first-round picks forfeited (two were returned later)
-$3.5M fine
-Smith’s most-recent contract was voided, and his Bird Rights were stripped away
-Wolves owner Glen Taylor was suspended
-Wolves GM Kevin McHale was forced to take a leave of absence