NBA Nears Decision on Clippers Salary-Cap Probe Tied to Kawhi Endorsement Deal, Aspiration Bankruptcy and Founder's Fraud Sentence

NBA Commissioner Adam Silver said Wednesday that the league's investigation into the LA Clippers' potential salary cap circumvention is far along and that the time to wrap it up is drawing near. Silver spoke at Frost Bank Center in San Antonio before Game 1 of the 2026 NBA Finals between the San Antonio Spurs and the New York Knicks.

He said the investigation, conducted by the law firm Wachtell, Lipton, Rosen & Katz, began in September and is focused on whether the Clippers circumvented the salary cap by funneling money to Kawhi Leonard through his $28 million endorsement deal with Aspiration.

Owner Steve Ballmer invested $60 million in the company. Ballmer has denied he had knowledge of Leonard's deal or that he directed the company to strike one.

Aspiration has since gone bankrupt. The company's co-founder, Joe Sanberg, was sentenced to 14 years in prison on Monday after pleading guilty to two counts of wire fraud. "The investigation has been conducted by a law firm independent of the NBA," Silver said.

"Yes, we're paying their bills, but they are doing the work independent of the league office, and my instruction to them is we can't be investigating forever, but at some point, we have to wrap it up. " Silver declined to put a timeline on the conclusion of the investigation. He said the independent firm is far along and that reports indicate people are being interviewed.

He added that he would not issue a determination based on perception but would follow the facts from the firm's findings. "I think it's clear they're far along," Silver said. "I think those reports are reading all the time from people who are being interviewed by them, and I think they understand that you can keep going on and on.

But I think we're close to the point now where I think we need to wrap this up because you also need finality. " Silver was asked about the perception that Monday's sentencing of Sanberg will play a role in his decision. "I certainly hear and read things all the time about the perception of what really happened or didn't happen here, and my only reaction is I think I wouldn't be doing my job if I issue the determination based on perception," Silver said.

"My job is to follow the facts, and what happens here is that ... findings will be made by this independent firm. " Silver also addressed his proposed reforms to the NBA's draft lottery aimed at curbing tanking, which were passed by the league's board of governors last week.

"Tanking is not a new issue for this league," Silver said. "I think maybe what surprised us all a little bit is how quickly it became acceptable behavior in this league. " "We found ourselves in a situation this year where all of a sudden it seemed like a third of the league maybe was responding in what an economist would say is very rational behavior but nontraditional behavior in terms of what they saw as a clear incentive to fall to the bottom of the standings," Silver said.

Silver said the NBA will have a firm decision on whether it will expand to Las Vegas and/or Seattle by the end of 2026. "Discussions are ongoing," he said. Silver also addressed the state of flopping and officiating in the NBA in a 2:15 video segment.