Clippers Kawhi Leonard trade frozen as Raptors refuse to absorb Aspiration investigation risk

The Kawhi Leonard trade back to Toronto is no longer just a basketball transaction.It is now tied directly to the NBA’s ongoing investigation into the Los Angeles Clippers, Steve Ballmer, Aspiration and allegations of salary-cap circumvention that have hovered over the franchise for nearly a year.The Clippers issued a lengthy statement after Shams Charania reported that Leonard’s planned trade to the Raptors has been delayed.According to the Clippers, the deal was agreed to in principle on June 30, but cannot be finalized unless Toronto’s ownership group assumes the risk of any potential penalties connected to Leonard’s contract that could emerge from the NBA investigation.At this time, Toronto is not willing to do that.The Raptors wrote that the league office informed them that, because of the ongoing investigation involving the Clippers, they would assume the risk of any potential outcome affecting Leonard.

As a result, Toronto said it will wait until the investigation is complete before moving forward.“The Raptors remain eager to bring Kawhi back to Toronto and look forward to a swift resolution for our players, our organization, and our fans,” the team said.That leaves Leonard in limbo, the Clippers’ blockbuster exit plan unfinished and the Raptors’ reunion with the 2019 Finals MVP on hold.The Clippers, meanwhile, continue to strongly deny wrongdoing.“For the past 10 months, our organization has fully cooperated with an NBA investigation,” the team said, noting that it has participated in dozens of interviews, provided tens of thousands of documents and allowed access to staff.The organization also denied the central accusation in the case.“We did not funnel money to Kawhi Leonard through Aspiration,” the Clippers said.At the center of the investigation is Aspiration, the now-defunct green banking company co-founded by Joe Sanberg.Sanberg pleaded guilty to federal fraud charges tied to a scheme prosecutors said defrauded investors out o...