Clippers will comply with NBA penalties in Kawhi Leonard case

The Clippers will comply with the NBA’s recent penalties involving their attempts to circumvent the salary cap through endorsement deals with star player Kawhi Leonard, setting aside all legal challenges.

“We are committing to put this chapter behind us,” Clippers owner Steve Ballmer said in a statement released by the team on Sunday. “We have communicated to the NBA that we are complying with the penalties assessed by the league, have paid the fine, and are moving forward.

“While there are still disagreements concerning the findings in the report, this is not where I want to focus. Team owners should support, not distract.”

Two weeks ago, the NBA ruled that the Clippers were guilty of salary cap circumvention based on a year-long investigation by law firm Wachtell, Lipton, Rosen & Katz, which found the team helped Leonard secure a $28 million no-show contract with Aspiration, which had previously been a team sponsor.

The investigation also found three other companies had arrangements with the team and with Leonard that were not compliant with league rules, and the NBA imposed a $30 million fine, suspensions for key executives, including Ballmer, and forfeiture of five first-round draft picks.

At that time, Ballmer vowed to “vigorously challenge these findings and penalties through every avenue available to us.” Ballmer’s lawyer called the probe a “witch hunt” and the penalties handed down a “gross injustice” in a letter to NBA commissioner Adam Silver. In the months leading up to the conclusion of the investigation, the Clippers had remained adamant that they had done nothing wrong and expected to be exonerated.

On Sunday, Ballmer expressed regret, saying, “This has been a very difficult time for everybody associated with the Clippers, and for that, I have sincere regrets.

“I want to apologize to our fans, employees and my fellow NBA team owners for the distraction and distress this matter has caused, for which I accept responsibility as principal owner. We are committing to putting this chapter behind us.”

Ballmer said the challenges the team faces “are significant, but so is our resolve. We will continue to build our team and invest in our community.

“The confidence of our fans is our priority. With our talented roster, outstanding staff and clear vision, I am certain that we will compete at the highest level and be an organization our fans can be proud of.”

Ballmer’s reversal comes ahead of this week’s two-day NBA Board of Governors meeting on Monday and Tuesday in New York, where the Clippers’ situation is expected to be addressed by Silver. It will be the league’s first comments on the penalties.

Ballmer’s acceptance of the punishment is the first step in moving forward. The Clippers need to appoint an alternate governor, identify who will run their front office while President of Basketball Operations Lawrence Frank serves a six-month suspension, as well as execute the trade with the Toronto Raptors that will send Leonard to his former team in exchange for Brandon Ingram, Gradey Dick and a host of draft picks.