The NBA will exercise caution in its investigation regarding the legitimacy of an endorsement agreement between Kawhi Leonard and a California firm, as stated by Commissioner Adam Silver. This was announced following a board meeting in New York attended by Steve Ballmer, owner of the LA Clippers. Silver emphasized that the league will await the external report from the investigating firm before proceeding further.

“We’re constantly learning in the league office and again, I’m reserving judgment because I don’t know the facts here,” said Silver. “I don’t know what Kawhi was paid. I don’t know what he did or didn’t do. We’ll leave all that for the investigation.”

The probe was initiated last week in response to concerns over a $28 million endorsement deal between Leonard and Aspiration Fund Adviser, LLC, which recently filed for bankruptcy. This investigation follows an exposé by journalist Pablo Torre.

The Clippers have firmly denied any wrongdoing and have welcomed the investigation. Silver remarked, “As a matter of fairness, I would hesitate to act simply on the appearance of impropriety. The purpose of a thorough investigation is to determine if there was any actual impropriety. I would expect anyone in the situation of Mr. Ballmer or Kawhi to receive the same treatment I would desire if allegations were made against me.”

Ballmer had invested $50 million in Aspiration, which entered a $300 million partnership with the team in September 2021, shortly after Leonard secured a four-year, $176 million contract extension with the Clippers.

Following a two-year partnership, the team ended its relationship with Aspiration, citing contract default. Joseph Sanberg, Aspiration’s co-founder, pled guilty last month to federal charges of wire fraud, accused of deceiving investors and lenders out of $248 million.

Silver underscored the importance of due process and fairness: “You need to allow the investigation to take its natural course,” adding that he possesses “very broad powers” to enforce penalties should any wrongdoing be identified.

In the past, the NBA also investigated claims suggesting Leonard’s representatives requested specific terms that could be viewed as circumventing salary caps during Leonard’s time as a free agent. Potential penalties for teams found violating salary cap rules can be severe, including fines up to $7.5 million, contract nullification, and forfeited future draft picks.