Aspiration co-founder Joe Sanberg issued 14 year prison sentence

The LA Clippers and the basketball world are still awaiting the NBA’s ruling on alleged salary cap circumvention by the Clippers and Kawhi Leonard. In the meantime, there was another update involving the company that Steve Ballmer claimed defrauded him.

Joseph Sanberg, the co-founder of green-banking company Aspiration, was officially issued a 14-year federal prison sentence on Monday afternoon.

Appearing in a federal court in Los Angeles, a federal judge sentenced Sanberg to 14 years in prison after he was charged with defrauding investors out of $248 million. According to ESPN’s Baxter Holmes, judge Stephen V. Wilson who issued the sentence expressed his disdain for Sanberg’s actions.

In a federal courtroom in downtown Los Angeles, in front of people who said they had been defrauded by Aspiration and specifically by Sanberg, Wilson said the circumstances of Sanberg’s actions were “among the worst I’ve ever seen” in his career on the bench before adding that “this case has touched almost every badge of fraud.

“[Sanberg] portrays himself as a do-gooder who was in business to help the world,” Wilson said, “but he did personally gain from his fraud.” Wilson added that Sanberg “hurt a lot of people” and “became greedy, brazen, callous” and “entangled in a web of lies” that continued for years.”

Sanberg previously pleaded guilty to two counts of wire fraud after federal prosecutors found that he defrauded investors and lenders out of $248 million by fraudulently obtaining loans, falsifying bank records, and brokerage statements, and concealing that he was the source of some revenue booked by the company. Each count carried a maximum of 20 years in prison, ESPN’s Baxter Holmes reported.

Clippers owner Steve Ballmer, star Kawhi Leonard, and the franchise are currently under NBA investigation after the franchise’s star and allegedly signed a no-show contract that had Leonard paid millions to do nothing for the company.

Ballmer, who is 70 years of age, stated that he initially invested in Aspiration because he believed in the company’s core beliefs in being an environmentally friendly business. With Sanberg scheduled for a sentencing on Monday, Ballmer issued an official statement, claiming that he, along with employees, customers, and other investors, was “duped.” He posted these comments while sharing the link to his letter revealed to the judge in the case.

“Five years ago, I invested in Aspiration, a company focused on environmental sustainability, a cause deeply important to me and my family,” said Ballmer. “I also bought carbon credits and trees through the company to reduce the carbon footprint of the Clippers, Intuit Dome, the Kia Forum, and all our fans and patrons.

“Aspiration’s founder, Joe Sanberg, engaged in fraud that injured many, and eventually, took the company down. I was duped and feel silly about that. Everyone who believed in Aspiration, including employees, customers, and investors, was also duped. Everyone is still tallying the losses.”

ESPN’s Baxter Holmes reports that, as part of his prison sentence, Joe Sanberg will be on supervised release for three years following his prison term.”

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