Kawhi Leonard's Secret Endorsement Deal Sparks NBA Salary Cap Investigation
Kawhi Leonard reportedly had a hidden "multi-million dollar" sponsorship agreement with Daktronics, raising suspicions about the Los Angeles Clippers' potential circumvention of the NBA's salary cap. Investigative journalist Pablo Torre revealed that this deal was allegedly utilized to pay Leonard more than allowed under the collective bargaining agreement. The NBA has been probing the Clippers and Leonard since last September, following Torre’s discovery of a prior endorsement with Aspiration, a now-defunct sustainability firm. This investigation is being conducted by the law firm of Wachtell, Lipton, Rosen & Katz and has reportedly expanded over the past months. Key details include: A "high-level" source within the Clippers confirmed that Leonard was openly recognized as a spokesperson for Daktronics. The Clippers allegedly funneled money through Daktronics back to Leonard, circumventing salary cap regulations. The Toronto Raptors' trade for Leonard has been put on hold as they weigh the risks of potential penalties. The Daktronics deal, which involves the company responsible for the massive Halo Board scoreboard in the Clippers' Intuit Dome, raises questions about the future of Leonard. Reports suggest that the investigation could extend into 2027, with possible arbitration and appeals afterward. Leonard's past sponsorship with Aspiration was valued at $28 million, with significant financial backing from Clippers owner Steve Ballmer. As the situation evolves, the Raptors are cautious about assuming any consequences resulting from the investigation, with Leonard's future in the league hanging in the balance. The Clippers have yet to comment on the Daktronics allegations, adding to the uncertainty surrounding Leonard's status for the upcoming season.
Source: CBS Sports - 2026-08-07