US EditionOC Entrepreneur Admits to Conspiring to Defraud Investors Out of $248 Million; His Firm’s Payment to Kawhi Leonard Faces Scrutiny
The NBA probes a $48 million endorsement deal with Kawhi Leonard amid claims it circumvented salary cap rules, following Aspiration's bankruptcy and conflicting statements from Clippers owner Steve Ballmer.
- On Monday, The Wall Street Journal contradicted Clippers owner Steve Ballmer's claim that Aspiration reached out about Kawhi Leonard, prompting the NBA to hire Wachtell, Lipton, Rosen & Katz for an investigation.
- On Monday, Aspiration co‑founder Joe Sanberg pleaded guilty to wire fraud, roughly six months after prosecutors accused him of participating in a scheme that defrauded investors out of $248 million.
- Prosecutors say Aspiration's audit committee and financial documents misrepresented finances while it had less than $1 million in ready cash, and Sanberg with Ibrahim AlHusseini secured $145 million in loans.
- The Clippers have denied any wrongdoing in the alleged Aspiration endorsement deal, Ballmer said he had no knowledge of the deal, and it's unclear how long the NBA investigation will take.
- Sanberg faces sentencing on February 23, 2026 and is also the subject of a Securities and Exchange Commission civil suit alleging manipulation to boost Aspiration's prospects.
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OC entrepreneur admits to conspiring to defraud investors out of $248 million; his firm’s payment to Kawhi Leonard faces scrutiny
LOS ANGELES — The co-founder of the now-bankrupt “environmentally conscious” digital bank Aspiration that allegedly gave Los Angeles Clippers star Kawhi Leonard a $28 million endorsement as a way to circumvent the league’s salary cap pleaded guilty Monday to conspiring to fleece investors out of $248 million. Joe Sanberg, 46, of Orange, entered his plea in Los Angeles federal court to two counts of wire fraud, felonies that together carry a sent…
Cofounder of fintech once backed by Steve Ballmer and Drake pleads guilty to wire fraud
Joseph SanbergCraig Barritt/Getty Images for Jefferson Awards Foundation)Joseph Sanberg pleaded guilty on Monday to two counts of wire fraud.Sanberg was cofounder of green banking startup Aspiration Partners.The company once boasted high-profile backers like Steve Ballmer, Leonardo DiCaprio, and Drake.The cofounder of a green banking startup that drew celebrity backers like Steve Ballmer and Leonardo DiCaprio pleaded guilty on Monday to two coun…
Orange County Man Pleads Guilty to Role in $248M Fraud Scheme
The co-founder of the now-bankrupt “environmentally conscious” digital bank Aspiration who allegedly gave Los Angeles Clippers star Kawhi Leonard a $28 million endorsement as a way to circumvent the league’s salary cap pleaded guilty Monday to conspiring to fleece investors out of $248 million. Joe Sanberg, 46, of Orange, entered his plea in Los Angeles federal court to two counts of wire fraud, felonies that together carry a sentence of up to 4…
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