Former Microsoft CEO and NBA Owner Subject of Investigation

Steve Balmer led Microsoft as its CEO for 14 years, then bought the NBA's LA Clippers. Now, he and the team are under an NBA investigation that could result in possible severe penalties from the league.

   NBA looking into attempts to circumvent salary cap

According to Geekwire, investigators are looking at what might have been a "no-show" job for star player Kawhi (Kuh-why) Leonard to entice him to re-sign with the team.

Leonard, a perennial All-Star and yearly candidate for player of the year for a number of seasons, signed with the Clippers in 2019, then re-signed again in 2022.

The NBA is investigating whether Balmer and the team funnelled an additional $28 million to Leonard via a 'phony' sponsorship deal in an effort to circumvent salary cap rules. Salary caps are designed to provide financial equality for teams, so there can be a more even playing field.

ESPN is reporting that former workers at Aspiration corporation said Leonard's 2022 endorsement deal was a no-show job.  Just prior to Aspiration signing a multi-year sponsorship deal with the Clippers for $300 million,  Balmer invested $50 million in the firm.  Aspiration offered banking and other services for what Geekwire reports were sustainability-related initiatives.

They filed Chapter 11 in March of this year, and co-founder Joseph Sandburg has pleaded guilty to $243 million worth of fraud.  Balmer said in a statement the company defaulted on its contract with the team.

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He and the Clippers also released a statement condemning any claim about attempting to skirt the salary cap rules. Such violations, if found to be intentional, can result in lost draft picks, fines and other league punishments.

ESPN says the former workers and whistleblowers said Leonard's sponsorship deal help the Clippers evade the salary cap.

The investigation continues.