​There has been an unusual delay in formally announcing the Kawhi Leonard trade that would send him to the Toronto Raptors, and now both teams involved are clarifying the reasons behind it. Even though the new NBA league year began on Monday, July 6, neither the Raptors nor Leonard’s former team, the Los Angeles Clippers, has completed the deal that was agreed to on June 30. That agreement would send Brandon Ingram, Gradey Dick, two first-round picks, one pick swap, and two additional second-round picks back to Los Angeles.
On Thursday, July 9, both the Clippers and Raptors issued statements explaining the postponement, signaling that the trade cannot be finalized until the ongoing NBA investigation into the Clippers is resolved. The Clippers’ statement said, “On June 30, we reached an agreement in principle to trade Kawhi Leonard to the Toronto Raptors. We have since been informed that the trade can only be finalized if the Raptors’ ownership group assumes the risk of penalties related to Kawhi’s contract that could theoretically result from the ongoing investigation. The investigation is ongoing, and we expect the trade to be finalized following its conclusion.” The Raptors’ statement mirrored that sentiment, noting that they, too, would wait for the league’s inquiry to conclude and that they were prepared to assume any risk if the league allowed the transaction to proceed.
The Raptors added that they remain eager to bring Kawhi back to Toronto and anticipate a prompt resolution for their players, their organization, and their fans. Despite the shared optimism that the deal would be completed once the investigation ends, Toronto’s wording leaves room for a change of course if the potential penalties from the probe prove to be too severe.
The NBA has enlisted a New York City-based law firm to examine claims that the franchise circumvented the salary cap when courting Leonard in 2019. The investigation centers on an alleged $28 million “no-show” endorsement deal for Leonard with a now-bankrupt sustainability company called Aspiration. The Clippers have repeatedly denied any wrongdoing, insisting that they did not direct money to Kawhi through Aspiration and that, like many sophisticated investors and business partners, they were victims of fraud perpetrated by Aspiration’s founder.
The Clippers have emphasized that the core issue involves Joe Sanberg and Aspiration, insisting that they did not funnel funds to Leonard through Aspiration. They allege that Sanberg, who has since been convicted and sentenced to 14 years in prison, was responsible for the fraudulent scheme. As the investigation unfolds, both teams continue to stress their innocence and await the league’s final determination before any finalization of the trade can occur.