Jun 2, 2026 11:16 PM

The founder of Aspiration was sentenced to 14 years in prison for defrauding investors.

In September 2025, the NBA began investigating the Los Angeles Clippers for manipulating the salary cap and paying Kawhi Leonard "under-the-table" through an endorsement deal with the banking company Aspiration. 

The Clippers are under investigation because the deal is worth $28 million, and it was with a company that team owner Steve Ballmer invested $50 million in. Before the deal with Kawhi, the Clippers announced a  23-year deal with Aspiration worth $300 million. 

On June 1, it was reported by NBA insider Baxter Holmes that Joseph Sanberg, the founder of the company, was sentenced to 14 years in prison for defrauding investors of $248 million. This now raises concerns about whether or not the Clippers could be punished beyond the NBA's ruling. 

Kirby Lee-Imagn ImagesKirby Lee-Imagn Images

This is also a major breakthrough in the organization because Sanberg was a key subject in interviews with NBA investigators. Ballmer and Leonard have defended themselves, saying they were tricked by Sanberg. Steve Ballmer has told investigators he has lost his entire investment in the company. 

How Bad Could This Be For The Clippers?

The NBA is still in the middle of the investigation, but if they find more against the Clippers, they could be in for serious punishment. 

To start, Los Angeles could be fined $30 million for finding a loophole in the salary cap. This could also result in individuals within the organization getting serious fines or potentially losing their jobs.  

Kirby Lee-Imagn ImagesKirby Lee-Imagn Images

Suspensions could also be in play here. Anyone from Steve Ballmer to Kawhi Leonard, or anyone else within the organization, could see missed time as a penalty for the situation. If a team executive had any sort of role in these actions, they would be penalized. 

Los Angeles could also lose draft picks as a result of this investigation. Depending on the severity of the situation, the Clippers could lose multiple first-round picks, but if they get caught in wrongdoing, it will be at least one. 

The worst potential punishment of all is Kawhi Leonard's contract getting voided, making him an unrestricted free agent and preventing him from re-signing with the Clippers. While this is the most extreme hypothetical punishment, it could come true. 

Jayne Kamin-Oncea-Imagn ImagesJayne Kamin-Oncea-Imagn Images

If the Clippers were to lose Leonard, draft picks, and team personnel, it could set the franchise back for years. This is a team that is ready to start a new era within the next one or two seasons, and if they were to lose draft capital and their best player, it would hurt for multiple years. 

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