Showing posts with label Collective Bargaining Agreement. Show all posts
Showing posts with label Collective Bargaining Agreement. Show all posts

Thursday, 3 September 2026

LOS ANGELES CLIPPERS, STEVE BALLMER AND KAWHI LEONARD HANDED BRUTAL PUNISHMENT AS NBA INVESTIGATION ENDS


The Los Angeles Clippers have been stripped of five first-round draft picks and fined $30million for breaching salary cap circumvention rules.

Additionally, Clippers owner Steve Ballmer has been banned from all NBA and team activities for a year and player Kawhi Leonard has been ordered to pay the league $700,000.


The Clippers have had the book thrown at them by the NBACredit: Getty


The punishments come following the conclusion of an investigation that found the Clippers got around salary cap rules to sign Leonard as a free agent back in 2019.

NBA statement

An official release from the NBA read: "The NBA announced today that the LA Clippers and Kawhi Leonard have been penalized for violating the salary cap circumvention rules contained in the league’s Collective Bargaining Agreement (CBA) with the National Basketball Players Association (NBPA).

"This determination was based upon information developed through an independent investigation conducted by the law firm of Wachtell, Lipton, Rosen and Katz.

"The investigation found a pattern of misconduct and multiple significant rules violations by the Clippers organization, a prior offender of the salary cap circumvention rules. As described in a summary report prepared by Wachtell Lipton, available here, the Clippers broke the rules by:

"Affirmatively initiating off-court income opportunities between Mr. Leonard and four companies doing business with the team: Aspiration Partners, Boingo Wireless, Daktronics, and Lockton Insurance;

"Facilitating endorsement agreements between these companies and Mr. Leonard;

"Inducing the companies to enter into these agreements by offering them business from the team;

"Paying personal expenses on behalf of Mr. Leonard and his representatives; and

"Failing to report improper solicitations for off-court income opportunities made on Mr. Leonard’s behalf through his then-business manager, Dennis Robertson.

"Mr. Leonard, through the conduct of Mr. Robertson on his behalf, violated the circumvention rules by pressuring the Clippers to assist him in obtaining off-court income opportunities, successfully obtaining those opportunities, and failing to reimburse payments by the Clippers for personal expenses.


Ballmer must cough up an eye-watering $30mCredit: Getty


"Based on this misconduct, the NBA has imposed the following penalties:

"The Clippers shall forfeit five first-round draft picks, one in each of the 2029, 2030, 2031, 2032, and 2033 NBA Drafts.

"The Clippers are fined $30 million.

"Clippers owner Steve Ballmer is suspended from all league and team activities for one year for knowingly seeking to help Mr. Leonard obtain off-court income opportunities, for approving a business deal that he knew was a precondition for Aspiration to enter into an endorsement agreement with Mr. Leonard, and for his failure to create conditions under which his organization abided by the NBA’s circumvention rules.

"Clippers President of Business Operations Gillian Zucker is suspended without pay for one year for being primarily and directly culpable for the impermissible endorsement arrangements and for providing false and misleading statements to investigators.

"Clippers President of Basketball Operations Lawrence Frank is suspended without pay for six months for his involvement with the impermissible endorsement arrangements and for approving impermissible expenses incurred by Mr. Leonard and his family.


Leonard, meanwhile, has been hit with a six-figure fineCredit: Getty

"The Clippers organization and personnel are subject to a compliance and monitoring program overseen by the league office for a period of five years.

"In connection with his violations, Mr. Leonard is required to pay the league $700,000.

"Mr. Robertson is banned from conducting business or otherwise engaging with NBA teams and their affiliates on behalf of or with respect to any player, employee, or other league or team personnel for a period of five years."

It was also revealed that the NBA and National Basketball Players Association (NBPA) made an agreement confirming the penalties.

NBA Commissioner Adam Silver said: “The NBA’s collectively bargained system for determining player compensation is a fundamental component of the basketball competition that the league oversees for the benefit of the teams and players and ultimately the fans.

"I am deeply disappointed by the flagrant violations of our rules and by the Clippers’ institutional and leadership failures that led to this misconduct. The severity of the penalties reflects the seriousness of the violations."

- Tom Hancock

Thursday, 18 April 2024

NBA BANS JONTAY PORTER AFTER GAMBLING PROBE SHOWS HE SHARED INFORMATION, BET ON GAMES

The Canadian Press via AP


 Toronto Raptors player Jontay Porter was banned for life from the NBA on Wednesday after a league probe found he disclosed confidential information to sports bettors and wagered on games, even betting on the Raptors to lose.

Porter is the second person to be banned by Commissioner Adam Silver for violating league rules. The other was now-former Los Angeles Clippers owner Donald Sterling in 2014, shortly after Silver took office.

In making the announcement, Silver called Porter's actions “blatant.”

“There is nothing more important than protecting the integrity of NBA competition for our fans, our teams and everyone associated with our sport, which is why Jontay Porter’s blatant violations of our gaming rules are being met with the most severe punishment,” Silver said.

The investigation started once the league learned from “licensed sports betting operators and an organization that monitors legal betting markets” about unusual gambling patterns surrounding Porter's performance in a game on March 20 against Sacramento. The league determined that Porter gave a bettor information about his own health status prior that game and said that another individual — known to be an NBA bettor — placed an $80,000 bet that Porter would not hit the numbers set for him in parlays through an online sports book. That bet would have won $1.1 million.

Porter took himself out of that game after less than three minutes, claiming illness, none of his stats meeting the totals set in the parlay. The $80,000 bet was frozen and not paid out, the league said, and the NBA started an investigation not long afterward.

“You don't want this for the kid, you don't want this for our team and we don't want this for our league, that's for sure," Raptors President Masai Ujiri said Wednesday in Toronto, speaking shortly before the NBA announced Porter's ban. “My first reaction is obviously surprise, because none of us, I don't think anybody, saw this coming.”

Later, after the NBA revealed the ban, the Raptors said they are "fully supportive of the league’s decision to ban Jontay Porter from the NBA and are grateful for the swift resolution to this investigation. We will continue to cooperate with all ongoing inquiries.”

The league has partnerships and other relationships with more than two dozen gaming companies, many of whom advertise during NBA games in a variety of ways. Silver himself has been a longtime proponent of legal sports wagering, but the league has very strict rules for players and employees regarding betting.


AP


And what Porter was found to have done was in violation of the Collective Bargaining Agreement, which states: “Any Player who, directly or indirectly, wagers money or anything of value on any game or event in the Association or in the NBA G League shall, on being charged with such wagering, be given an opportunity to answer such charges after due notice, and the decision of the Commissioner shall be final, binding, and conclusive and unappealable.”

Silver cautioned last week that this move was possible, saying what Porter was accused of represented “cardinal sin” in the NBA. Porter has not commented since the investigation began, and never played for the Raptors again — he was listed as out for all of Toronto's games for the remainder of the season citing personal reasons.

The league also determined that Porter — the brother of Denver Nuggets forward Michael Porter Jr. — placed at least 13 bets on NBA games using someone else's betting account. The bets ranged from $15 to $22,000; the total wagered was $54,094 and generated a payout of $76,059, or net winnings of $21,965.

Those wagers did not involve any game in which Porter played, the NBA said. But three of the wagers were multi-game parlays, including a bet where Porter — who was not playing in the games involved — wagered on the Raptors to lose. All three of those bets lost.

“While legal sports betting creates transparency that helps identify suspicious or abnormal activity, this matter also raises important issues about the sufficiency of the regulatory framework currently in place, including the types of bets offered on our games and players,” Silver said. "Working closely with all relevant stakeholders across the industry, we will continue to work diligently to safeguard our league and game.”

Porter was on what is called a two-way contract, meaning he could play for both the Raptors and their affiliate in the G League. His salary for this year was around $410,000; had the Raptors signed him to a standard NBA contract next season, as seemed possible, his salary would have exceeded $2 million.

The 24-year-old Porter averaged 4.4 points, 3.2 rebounds and 2.3 assists in 26 games, including five starts. He also played in 11 games for Memphis in the 2020-21 season.

ESPN first reported the investigation, which it said surrounded Porter’s performance in games on Jan. 26 and March 20. In both games, Porter played briefly before leaving citing injury or illness. Porter played 4 minutes, 24 seconds against the Los Angeles Clippers in the first of those games, then 2:43 against Sacramento in the second game.

In both of those games, Porter did not come close to hitting the prop-wager lines for points, rebounds and 3-pointers that bettors could play at some sportsbooks. For example, one set of prop wagers for Porter for the Clippers game was set at 5.5 points, 4.5 rebounds and 1.5 assists; he finished with no points, three rebounds and one assist. For the Kings game, they were around 7.5 points and 5.5 rebounds; Porter finished that game with no points and two rebounds.

The league said its probe “remains open and may result in further findings,” and that those findings are being shared with federal prosecutors.

- Tim Reynolds