Steve Ballmer Sued by 11 Aspiration Investors Over Alleged Kawhi Leonard Salary Cap Scheme

Los Angeles Clippers owner Steve Ballmer is facing a lawsuit from 11 former investors in Aspiration (now Catona), alleging he used the company to secretly funnel over $50 million to star player Kawhi Leonard to circumvent NBA salary cap rules and induce Leonard to re-sign with the team. The complaint accuses Ballmer of being complicit in fraud alongside Aspiration co-founder Joe Sanberg, who pleaded guilty to related charges, and claims Ballmer's financial support was essential for sustaining the alleged scheme. Investors argue that had Ballmer disclosed the true nature of his involvement with Aspiration, they would not have invested or maintained their investment. The plaintiffs also allege that Ballmer transferred additional funds to Aspiration to keep the company afloat and to secure Sanberg’s cooperation and silence regarding the secret payments to Leonard. The NBA has launched an ongoing investigation into the Clippers and Aspiration, with Commissioner Adam Silver affirming the league's commitment to a thorough investigation while respecting due process. Ballmer’s legal team and the Clippers organization have not yet publicly responded to the lawsuit.