After Mavericks minority stakeholder Mark Cuban suggested in a Twitter post that journalist and podcaster Pablo Torre should dig into the carbon credits that the Clippers bought from the now-bankrupt “green bank” company Aspiration, Torre did just that in the latest edition of his Pablo Torre Finds Out podcast (YouTube link).
Cuban had speculated that those carbon credits could be an easier and safer way for the team to circumvent the cap to pay Leonard, as opposed to simply investing in the company. Since the margin was so high on those credits, those purchases could provide Aspiration with a quick influx of cash that created the appearance of real revenue.
Torre’s findings point to that being a possibility, as the Clippers purchased roughly $21MM in carbon credits from Aspiration in June 2022, shortly before the first payment to Kawhi Leonard for his alleged “no-show” deal was due (Twitter video link). The Clippers had purchased another $35MM in carbon credits in April 2022, right around the time Leonard signed that endorsement agreement that didn’t actually require him to do any endorsement work.
Responding to Torre’s latest report, the Clippers said in a statement those carbon credit purchases were part of owner Steve Ballmer‘s effort to ensure Intuit Dome would be as environmentally friendly an arena as possible.
“Steve and his family are focused on sustainability, which is why Intuit Dome was designed to be a carbon neutral building from its inception and to achieve LEED Zero status over time,” the Clippers said. “Our development agreements for the arena included mandates to buy carbon credits, but after studying the issue of neutrality, we went far beyond those requirements, exploring ways to address emissions from our fans and contracting with Aspiration to directly purchase carbon offsets, as well as broker the acquisition of additional offsets.
“Some of those commitments were built into the sponsorship deal with Aspiration — totally separate of the investment in the company — and we made payments to Aspiration until the company was unable to fulfill their responsibilities.
“This effort reflects Steve wanting to set a positive example and raise awareness of the growing and important role of voluntary carbon markets. Unfortunately, he was duped on the investment and on some parts of this agreement, as were many other investors and employees.”
Here’s more on the ongoing Clippers/Leonard story:
- Within his latest podcast, Torre provided some additional details on Ballmer’s $10MM investment in Aspiration in March 2023, which occurred shortly before the government began investigating the company. According to Torre, Ballmer paid $23 per share at that point, which was more than double the share price he paid when he invested $50MM in 2021. John Karalis of Boston Sports Journal (Twitter links) wonders if that inflated share price was a way for Ballmer to avoid assuming more than a 5% stake in Aspiration, which is prohibited by NBA rules for any company that employs a player as an endorser.
- People around the league don’t expect the investigation into Ballmer, the Clippers, and Leonard to conclude until sometime after the All-Star game, which will take place at Intuit Dome, Jake Fischer said in a Bleacher Report live stream this week (YouTube link). That probe is being conducted by the law firm Wachtell, Lipton, Rosen & Katz, which has led multiple independent investigations for the NBA, including the 2014 inquiry into Donald Sterling that resulted in the former Clippers owner selling the team to Ballmer.
- In case you missed it, John Hollinger of The Athletic took a closer look at earlier this week at the punishments that the Clippers and Leonard could face as a result of the investigation and explained why he doesn’t expect the NBA to void the forward’s contract.
Is the gun beginning to smoke yet?
How convenient that the investigation is likely to conclude after the All Star game. Because imo the only punishment Ballmer would care about is having that taken away. All the other things I have heard floated he won’t give a lick.
IMO, this will all conclude way before the All-Star game.
Every few days Torre detonates another truth bomb, and all the participants look that much worse. The cloud of uncertainty hanging over the Clippers hurts the team and their fans. And Silver looks weaker and weaker, confirming the narrative that he’s just a shill for the owner s.
You just gotta tip your hat to Pablo. He knew how it play out initially and was beyond prepared leaving sone juice in the reserves
Got a little lucky too when Dumbo Cuban wanted to flap his gums which probably helped Pablo look deeper into the carbon credits
I think he’ll feel the pain if they lose first round picks and if he’s forced to sell. The NBA does not want to move the ASG and doesn’t want there to be any scandal associated with their ridiculous exhibition game. At least until the show is over.
I highly doubt they’ll make him sell. Draft pics galore, a ban for a year (this is hilarious … although Ballmer will def miss sitting courtside), etc.
Reminds me of the NCAA making punishments.
It wouldn’t really hurt the Clippers to lose first-round picks until 2030. Their next two are already tied up. OKC controls the 2027 pick (protected 1–5), and the 2029 pick is owed to Philly (protected 1–3). The only real impact would come if the league imposed some convoluted punishment tied to whether those swaps convey. Beyond that, they’d be taking away picks five years down the line, which would hurt whoever owns the team then and the player they could’ve drafted.
They neee them to trade for their next star ! If they take away say 2 two clippers legally won’t be able to trade away any first rd picks till after 2034
To me this would be hilarious but I have a cutthroat idea if Ballmer is found guilty. He’s face with forcing to sale the team and they move to Seattle leaving Ballmer with an empty arena!!! I can’t wait to see if I get any back lash😂😂