[Holmes and Charania] The NBA has found no evidence showing LA Clippers owner Steve Ballmer funneled money through team sponsors to pay Kawhi Leonard in order to circumvent the salary cap, sources tell ESPN.
The NBA has found no evidence showing LA Clippers owner Steve Ballmer funneled money through team sponsors to pay Kawhi Leonard in order to circumvent the salary cap, according to three people with knowledge of discussions between the two sides in recent days.
Instead, the NBA is focused on whether the team’s introduction of Leonard to team sponsors constitutes a violation of the league’s rules prohibiting salary cap circumvention, two of the sources said. The league is examining whether the Clippers are guilty of “failure to supervise” employees, though it’s unclear what specific rule the team would have violated or what the penalties would be, two of the sources said.
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Two sources with direct knowledge of the situation said Leonard has maintained to the NBPA, league and Wachtell Lipton that he had no involvement in salary cap circumvention, and so far conversations around potential consequences have centered on him paying restitution for potential improper benefits from the Clippers, such as travel and lodging, for his representative and uncle Dennis Robertson.
If the case goes to arbitration, the arbitrator could compel document production, witness testimony and order discovery. After a hearing, the arbitrator’s ruling would be subject to an appeals panel made up of three people jointly appointed by the NBA and NBPA. The appeal panel decision is binding. Only after that process could Silver be authorized to issue any potential punishment.