With documents Pablo breaks down the intersection between Steve Ballmer, Aspiration,and Kawhi. Aspiration is a now bankrupt firm under investigation for fraud that claimed to plant trees to offset carbon footprints. I dont really want to spoil the video as it seems like Pulitzer prize level journalism, but basically Aspiration agreed to give Kawhi 7 million per for four years without any other enforcable clauses other than him remaining a Clipper folliwing a 315 million investment by Ballmer. Aspiration also signed a 300 million sponsorship deal with the Clippers.

It looks very, very much like Ballmer laundered money through Aspiration to circumvent the cap. I.E. Ballmer gives them 315 million, they give the Clippers back 13 million a year over 23 years for sponsorships, and they pay Kawhi 28 million over four years to circumvent the cap.

Aspiration recently filed for bankruptcy so Pablo Torre has documents to back up his reporting, though he does a commendable job of not making direct accusations that might open him up to a libel suit. Watch the video, it will blow your mind.

I've always thought that state, local, and Canadian income taxes are one of the most underreported aspects of the salary cap and free agency. Apparently, the majority of people in the highest tax brackets are pro athletes as other high earners have figured out a myriad of ways to circumvent the tax man via stock options, deferred payment, or ownership stakes. Taxes for players are complicated because they actually are calculated on a per game basis dedepending on the local rates. Still there are millions at stake for max players when it comes to deciding between Texas and California for example.

EwingsGlass wrote:

gradyandrew wrote:Some back of the envelope math by me shows that Ca. residents making more than a million pay 13.3% in state income tax. 176 million x 13.3% is 23.4 million, pretty close to the 28 million Kawhi was paid.

I've always thought that state, local, and Canadian income taxes are one of the most underreported aspects of the salary cap and free agency. Apparently, the majority of people in the highest tax brackets are pro athletes as other high earners have figured out a myriad of ways to circumvent the tax man via stock options, deferred payment, or ownership stakes. Taxes for players are complicated because they actually are calculated on a per game basis dedepending on the local rates. Still there are millions at stake for max players when it comes to deciding between Texas and California for example.

I agree with you. I’ve always thought they ought to be able to pay net numbers to players to equalize the bargaining position. But then you get into arguments of the big market bias. Taxes are net, but marketing dollars aren’t?

That said, I’ve always believed that this kind of thing happened regularly. Crypto, Russian oligarchs, shoe contracts, employment of friends and relatives, advertising, financing terms on creative contracts.

Were there is illogical financial outcome there is a conspiracy perhaps.
Its a natural tendncy to think it and perhaps its very common but since its not widespread they caught we consider the notion that Stern/Silver just ignores it?.
Its the owners league and these guys are often cited for creating wealth by circumventing the rules to get to afford these teams. All great societies and wealth creation has a crime attached to it. Why should a group of type "A" billionairs be different? If you get caught, its a different story?

There is precendence though. 25 years ago Timberwolves Glen Taylor got nailed for trying to circumvent the sytesm with player Joe Smith.

-5 first-round picks forfeited (two were returned later)
-$3.5M fine
-Smith's most-recent contract was voided, and his Bird Rights were stripped away
-Wolves owner Glen Taylor was suspended
-Wolves GM Kevin McHale was forced to take a leave of absence

Lets not forget league came down hard on Donald sterling and Sarver also.

Again, maybe this **** goes on all the time but you can't get caught. Dr Jerry Buss was a known degenerate but was never cited for anything criminal. Perhaps in todays world he faces a different morality? Nothing illegal for boozing and womanizing!

If this is a bonafide smoking gun on Clippers/Balmer we will learn about inflation. That 3.5mm Taylor paid was one thing 25 years ago. If guilty of course! The picks? That set a ****ty franchise back some for sure. Balmer got a lot of money so we'll see how much it takes to hurt him.

Relative to Knicks and Brunson? Hey, league already got knicks for tampering a bit but is there going to be more?
Torre alludes on this clip he working on something "Interesting" about Brunson to Knicks:

Tweet was deleted or there was problem with the URL:

https://www.twitter.com/PabloTorre/status/1963231125871940031

The Joe Smith ex is relevant but lets be clear, he wasnt a DPOY, 2x Finals MVP, Allstar. At best Joe was an above avg. power forward. Whatever the penalties are, I'd imagine them to be much, much stiffer.

The other thing is the NBA really doesnt need to 'prove' anything. This isnt a crime so the only standard that needs to be followed is the NBAs. Even for the NBA, Ballmer is way richer and connected than anyone else. I cant see him having too many allies wanting to back him up. I cant get bet from China, but Id recommend taking the under on the Clippers win/ losses this season. At a minimum I'd expect Kawhi to have his current contract voided.

VDesai wrote:He is going after Brunson next. We will see if anything is truly up, but he put Brunson in his crosshairs.

That said he went after "the gambling scandal," and didn't really find anything of note other than doing some entertainment.

He said he's gotten a lot of calls from Brunson haters. Knicks were already penalized for signing him, so I'm guessing it's talk about his extension. The fact that Brunson's extension was equal to Bridges to within a million shouldn't be ignored. Seems far more likely that the only qpq was that the Knicks offer Mikal an extension. Since the extension was still below Mikals market value, I don't see a problem.

Tweet was deleted or there was problem with the URL:

https://www.twitter.com/lesterfreamon/status/1963321638478647646

Alpha1971 wrote:These hints by this reporter seem to be implying Brunson and the Knicks of being guilty of some illegal conduct. That's not something the Knicks or Brunson should tolerate without threatening legal action.

Was going to say something similiar. He phrased it in a way that he was just bringing up a name because he took whatever deal he took and it seemed to help the team too much. More like a teaser to an upcoming movie. Then finished with what he "may or may not find" or some similiar phrasing. Very poor way for a reporter/journalist to conduct his business.

gradyandrew wrote:

Asked if Robertson had asked for any additional benefits that would not comply with league rules, Ballmer said, "They know the rules. They meaning, Kawhi and his representatives, including his uncle. We know the rules. And if anything's not clear, we remind ourselves what the rules are and we make absolutely clear we're going to abide by those rules and they understand them as well. And it's important for them to abide by them, which they have."

Dude, Balmer could have just said no. This is classic deception.

The context is just a hint different. It's clear that the Uncle here has absolutely asked for stuff that goes beyond the rules.

I don't think No is really the correct or appropriate answer.

Tweet was deleted or there was problem with the URL:

https://www.twitter.com/RealTomPetrini/status/1963827561286320409

This is where discovery will come from. Im not sure what powers the NBA has to look at internal communications in Aspire, but you can sure bet some other investors will want to get involved because Balmer is one of the few guys in the world who can make the other investors whole.

Season LuxTaxLine Clippers Salary ClipsLuxTaxPayment
21-22 136 168 94
22-23 150 192 144
23-24 165 201 142

LAC were lux tax payers in each of the three seasons.In all seasons they were top 3 in salary. Because of the escalating structure of luxury tax payments, including repeater penalties, its likely the fraud committed on other owners is over 100 million. If anyone can ask an ai chatbot for some answers, Id be curious to know the results.