SEC investigates Daktronics over endorsement deal with Kawhi Leonard

Daktronics CFO Howard Atkins confirmed Wednesday that the Securities and Exchange Commission is seeking information regarding the company's endorsement deal with Kawhi Leonard. This federal inquiry runs alongside an ongoing NBA investigation into the Los Angeles Clippers concerning potential salary cap circumvention. The league probe previously focused on a separate agreement with Aspiration before expanding to include the scoreboard manufacturer. While the NBA continues to examine whether team officials improperly introduced Leonard to corporate sponsors, the involvement of the SEC suggests a potential move into broader financial oversight. The Clippers and Kawhi Leonard currently remain in a state of uncertainty as the Toronto Raptors have placed a pending trade on hold pending the outcome of these investigations.

• 7:34 PMYahoo Sports — Feds, NBA investigating Daktronics amid alleged Kawhi Leonard, Clippers no-show sponsor deals
• 7:30 PMYahoo Sports — Feds Questioning Daktronics Over Reported Kawhi Leonard Ties
• 6:49 PMCBS NBA — SEC looking into Kawhi Leonard's endorsement deal with Daktronics as NBA probe continues
• 6:49 PMYahoo Sports — SEC opens an investigation into Daktronics concerning Kawhi Leonard