The NBA reportedly is turning to a familiar law firm to get to the bottom of the Los Angeles Clippers–Kawhi Leonard saga.
The league has hired New York-based law firm Wachtell, Lipton, Rosen & Katz to investigate a report of salary-cap circumvention, The Athletic reported Friday.
The firm previously investigated former Clippers owner Donald Sterling (accusations of racism) and ex-Phoenix Suns owner Robert Sarver (accusations of inappropriate behaviour and comments). In both instances, ownership of those teams later changed hands.
NBA commissioner Adam Silver announced a lifetime ban for Sterling after the investigation, while Sarver was suspended one year, but opted to sell the franchise.
The NBA opened an investigation Wednesday into the Clippers after a report revealed that Leonard was paid by a now-bankrupt environmental firm that had close ties to the Clippers and owner Steve Ballmer in a deal that one former employee of the firm has said was designed to circumvent the NBA’s salary cap.
According to a report on the podcast Pablo Torre Finds Out published Wednesday, Leonard had a four-year, $28-million endorsement contract with the firm Aspiration, but is alleged to have provided no work as part of the deal. Documents obtained by Torre reveal Ballmer had invested $50 million in the firm shortly before Leonard’s endorsement deal went into effect in April 2022.
On Thursday, Torre said he had confirmed a Boston Sports Journal report that Leonard also had a $20-million side deal with Aspiration for company stock.
Ballmer denied any wrongdoing in an interview with ESPN on Thursday.
The league also is using its own investigator to work with the law firm, The Athletic reported.
— With files from the Associated Press
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