investor

As many as a dozen letters — including one from the NBA — were submitted by the attorney for Aspiration Partners co-founder Joe Sanberg ahead of his sentencing Monday in an effort to persuade the judge to trim the 17 years prosecutors have requested for each of the two counts of fraud.

Sanberg pleaded guilty in October to the federal charges of conspiring to bilk investors out of $248 million for portraying the now-defunct Aspiration as a “socially-conscious and sustainable banking services and investment products” firm.

Another letter was also submitted, however, and it wasn’t intended to assist Sanberg.

Clippers owner Steve Ballmer’s attorney David N. Kelley of O’Melveny and Myers wrote that Ballmer was defrauded of a $60-million investment in Aspiration and that the harm to his reputation is “immeasurable.”

The five-page Victim Impact Statement concludes: “Mr. Ballmer’s losses are not measured solely, or even primarily, on a balance sheet. They are measured in the reputational damage that will take years to remediate, and in the chilling effect on future endeavors intended to do good at scale.

“We ask the court to impose a sentence that accounts for those harms, promotes respect for the law, and deters those who would seek to appropriate the reputations of others to advance fraudulent aims.”

The letter states that the Clippers lost out on a $300 million sponsorship agreement with Sanberg in exchange for the team to wear Aspiration jerseys patches. Also lost was about $20 million the Clippers paid for carbon offset purchases and the $60 million Ballmer invested in the company.

Ballmer, a former long-time CEO of Microsoft, accused Sanberg of targeting him for his well-known interest in environmental sustainability and exaggerating their relationship to convince others to invest in the fraudulent company. In the letter, Ballmer says he met Sanberg only once.

Ballmer was added in November as a defendant in an existing civil lawsuit against Sanberg and several others associated with Aspiration. Ballmer and the other defendants are accused by 11 investors in Aspiration of fraud and aiding and abetting fraud, with the plaintiffs seeking at least $50 million in damages.

The letter dismisses the allegations in the lawsuit as “nonsense,” stating Ballmer was added as a defendant because of his “visibility and resources,” and reiterates that Ballmer himself is a victim of fraud. The action has damaged his reputation, the letter states, “and has further linked Mr. Ballmer to Sanberg’s fraud in the eyes of the public.”

The letter to the court, however, makes no mention of the $28-million contract Clippers star Kawhi Leonard signed with Aspiration for endorsement and marketing work. Players are allowed to have separate endorsement and other business deals, but at issue is whether the Clippers participated in arranging the side deal beyond simply introducing Aspiration executives to Leonard.

Leonard has addressed the accusations only once, denying wrongdoing and saying, “I understand the full contract and services that I had to do. Like I said, I don’t deal with conspiracies or the click-bait analysts or journalism that’s going on.”

The arrangement could be considered circumventing the NBA salary cap, a serious violation of league rules. Ballmer steadfastly denies arranging the deal between Aspiration and Leonard, who by all accounts performed no duties for Aspiration.

The NBA is investigating the complicated relationships between Ballmer, Leonard and Aspiration. One of the letters submitted by Sanberg’s attorney to the judge is from the law firm conducting the probe, and it states that the disgraced executive provided documentation and information helpful to the NBA investigation during two in-person interviews.

“In all our dealings with Mr. Sanberg, both directly and through his counsel, he provided information that was consistent with our review of contemporaneous documents and other evidence,” wrote Dave Anders of Wachtell Lipton. “Mr. Sanberg’s cooperation substantially assisted our investigation, including our ability to develop a more complete understanding of key events.”

Eventually the ledger will include the results of the NBA investigation into the allegations against Ballmer and Leonard. And that finding might impact the reputation of both more than Sanberg’s fraudulent dealings.

It felt like the Olympics. Crowds cheering. The American flag standing tall above the bleachers. Trainers jumping with anticipation. A swimmer staring in disbelief at the clock after his final stroke. The Jumbotron announced: Kristian Gkolomeev — 20.89 seconds. A new world record in the 50-meter freestyle.

Well, kind of.

I’ve left out some details. There was only one swimmer. The crowd? Just doctors, trainers and filmmakers. This was not in an Olympic city nor an Olympic year, but in Greensboro, N.C., in 2025. And there were no iconic rings on the banners, just “Enhanced Games.”

Yes, Gkolomeev swam faster than César Cielo, the official record holder at the time (20.91 seconds). But he did it “enhanced” — a polite way to say that he used performance-enhancing drugs. At the Enhanced Games, doping isn’t punished. It’s required.

The concept, as described by the organization: “to create the definitive scientific, cultural and sporting movement that safely evolves mankind into a new superhumanity.”

Backed by investors such as Peter Thiel and Donald Trump Jr.’s 1789 Capital, the Enhanced Games embodies a techno-utopian ideal: athletes as canvases for chemical optimization, testing the limits of human health for a lot of money. Gkolomeev earned $1 million for his record.

So far, the competition has happened at one-off pop-up events. But in May, Las Vegas will host the first full-scale Enhanced Games, a four-day meet in swimming, track and field, and weightlifting. The group advertises a “potential prize purse of $7.5 million for just a single day of competition,” plus appearance fees.

Does it need to be said? Apparently yes: The Enhanced Games glorifies the risky use of enhancement drugs.

Steroids can harden arteries, elevate stroke risk, damage the liver and permanently alter hormone systems. They are not electrolyte tablets or a little preworkout creatine. If Lance Armstrong had been rewarded — rather than sanctioned — for doping, what would have happened to competitive cycling?

Fans — and especially kids — mimic their idols. As risky as the drugs are for athletes at the Enhanced Games, with its “medical commission” to give the illusion of safety, the substances are even more dangerous when used by people without medical supervision.

The games also expose the economic neglect that drives athletes toward such competition. As Benjamin Proud, the British silver medalist who recently joined the Enhanced Games, put it: “It would have taken me 13 years of winning a World Championship title in order to win what I could win in one race at these games.”

Indeed, the Enhanced Games might look like an easy way out. Only nine swimmers worldwide received prize money and performance bonuses above $75,000 in 2025, according to World Aquatics.

Investors clearly hope to make money off the games as well. The organization is moving closer to becoming a publicly traded company. The economics are not mysterious.

But the Enhanced Games are not just another sporting event. They are an arena for biomedical experimentation and should be regulated as such. The games should face limits similar to those imposed on other high-risk industries, including age restrictions and strict advertising rules.

We already know how to govern legal, profitable activities that carry serious health risks.

In the United States, that means oversight from the Food and Drug Administration and the Federal Trade Commission — bodies that regulate drug protocols and police misleading commercial claims. A steroid-based competition should not be treated as a sport but as a medical experiment and a marketing stunt.

Regulations on pharmaceutical advertising offer a useful model for the Enhanced Games. Prescription drugs are advertised every night on television, but only under strict rules. They require fair balance (content must present benefits and risks with comparable prominence, readability and duration) and a “major statement” of risks (most serious risks must be spoken aloud and not obscured by visuals or music).

Right now, when you play Gkolomeev’s “world-record” video on YouTube, a medical-risk warning appears for barely five seconds — then vanishes. If a cholesterol drug must audibly warn viewers of stroke risk, why shouldn’t a steroid-based competition do the same?

Enhanced Games content should be accompanied by clear warnings of the risks of performance-enhancing drugs and be clearly labeled, age-gated and distributed as high-risk content more akin to pornography than to a boxing match.

Prohibition is not the answer. Trying to shut down these games only fuels a controversy-driven brand. Just recently, the Enhanced Games sued organizations such as World Aquatics and the World Anti-Doping Agency, alleging antitrust violations and that blocking athletes from participating at the Enhanced Games is illegal. As those organizations fight back, they will be seeking to protect the integrity of mainstream sports, but they will also inadvertently be promoting the Enhanced Games.

If we want kids to admire clean athletes rather than those using banned drugs, the Las Vegas launch must not reach the world as a Super Bowl would. The Enhanced Games should not be televised or allowed to stream online to minors. Otherwise, Las Vegas, in May, risks becoming an unregulated public-health experiment mislabeled as a sporting event.

Fabricio Ramos dos Santos is a lawyer, entrepreneur and sports investor.

WASHINGTON — President Trump’s nominee to chair the Federal Reserve said Tuesday that he never promised the White House that he would cut interest rates, even as the president renewed his calls for the central bank to do so.

“The president never once asked me to commit to any particular interest rate decision, period,” Kevin Warsh, a former top Fed official, said under questioning by the Senate Banking Committee. “Nor would I ever agree to do so if he had. … I will be an independent actor if confirmed as chair of the Federal Reserve.”

Warsh’s comments came just hours after Trump, in an interview on CNBC, was asked if he would be disappointed if Warsh didn’t immediately cut rates and responded, “I would.”

The comments underscore the challenge faced by Warsh, 56, a financier and former member of the Fed’s board of governors whom Trump named in January to replace the current Fed chair, Jerome H. Powell. Democrats on the committee accused Warsh of flip-flopping on interest rates over the years, supporting higher interest rates under Democratic presidents and advocating rate cuts during Trump’s time in office. Investors are watching the hearing closely to see how Warsh balances Trump’s demands with worsening inflation, as the war in Iran pushes up the price of gasoline.

Higher inflation typically leads the Fed to raise rates, or at least keep them unchanged, rather than cut them. When the Fed changes its key rate, it can affect mortgages, auto loans and business borrowing.

Yet Warsh’s account was challenged by Sen. Ruben Gallego, an Arizona Democrat, who said that Wall Street Journal reporting last year found that Trump had urged Warsh to reduce borrowing costs.

“Who’s lying here? Is it you or the president?” Gallego asked.

“I think those reporters need better sources,” Warsh responded.

For all the back and forth, the hearing didn’t appear to advance Warsh’s nomination, which has been delayed by a Justice Department investigation into the Fed and Powell, over brief testimony Powell gave last June before the same panel about a building renovation.

Sen. Thom Tillis, a North Carolina Republican on the committee, reiterated Tuesday he wouldn’t vote for Warsh until the investigation is dropped. With the committee closely divided and all Democrats opposed to his nomination, Tillis’ opposition is enough to bottle it up in committee.

“We have got to get rid of this investigation,” Tillis said, “so I can support your nomination.”

Tillis has previously said that all seven Republicans on the committee have signed a letter stating that Powell did not commit a crime when he testified before the panel last June. Federal prosecutors, led by U.S. Atty. Jeanine Pirro, are investigating his testimony for potential perjury, though a judge said last month they offered no evidence to support the charge when he threw out subpoenas Pirro had issued.

Prosecutors from her office as recently as last week sought access to the Fed’s building project but were turned away, revealing that the Trump administration has not reversed course despite opposition from members of his own party that are essential to Warsh’s confirmation.

In his opening remarks, Warsh told the Senate Banking Committee that one of his top goals would be to fight inflation, which remains elevated at 3.3% annually.

“Congress tasked the Fed with the mission to ensure price stability, without excuse or equivocation, argument or anguish,” Warsh said. “Inflation is a choice, and the Fed must take responsibility for it.”

Warsh would be in a tough spot if confirmed. Inflation is worsening, making it much harder for the Fed to implement the interest rate cuts Trump so desperately seeks. The conflict could also slow the economy, as well as hiring. And if Warsh ultimately becomes chair, he may very well find his predecessor, Powell, still sitting on the Fed’s governing board, an uncomfortable arrangement that hasn’t occurred since the late 1940s.

Warsh said the Fed’s political independence is “essential,” and that the central bank wasn’t threatened when “elected officials — presidents, senators, or members of the House — state their views on interest rates.” Trump has repeatedly urged Powell to cut the Fed’s key rate from its current level of about 3.6% to as low as 1%, a view almost no economist shares.

Sen. Elizabeth Warren, a Massachusetts Democrat, said that Trump has not just stated his opinions on rates, but has sought to fire a Fed governor and is investigating Powell.

“The Senate should not be aiding and abetting Donald Trump’s illegal takeover of the Fed by installing his chosen sock puppet as chair,” she said Tuesday.

Warren also noted that Warsh has not disclosed all of his financial holdings, which include investments in startups and private companies, or the size of those financial stakes. For example, Warsh has said he has holdings in SpaceX and Polymarket, but has not said how large those investments are.

Warren charged that Warsh is not in compliance with ethics requirements. Warsh argued that the Office of Government Ethics has signed off on his plan to sell all his assets within 90 days of his confirmation.

The turmoil could make a potential transition from Powell to Warsh an unusually turbulent one for the world’s most pivotal central bank, which has historically experienced smooth transfers of power. Should the change in leadership prove particularly bumpy, it could unnerve markets and lift longer-term interest rates.

Powell’s term as chair ends May 15. He said last month that he would remain as chair until a successor is named. Powell also is serving a separate term as a member of the Fed’s governing board that lasts until January 2028. Fed chairs typically leave the board when their terms as chair end, but Powell said last month he would remain on the board, even if a new chair is approved, until the investigation is dropped.

Trump said he would fire Powell if he attempted to remain at the Fed. Yet Trump’s previous attempt to remove a Fed governor, Lisa Cook, has been tied up in court. During oral arguments in January, a majority of justices on the Supreme Court appeared to lean toward leaving Cook at the Fed.

Rugaber writes for the Associated Press.