Steve Mills has the endorsement of former Knicks president Donnie Walsh.
Walsh said he was initially surprised by his successor Glen Grunwald’s bizarre ouster Thursday, four days before Knicks training camp, but he believes owner James Dolan can’t go wrong with Mills.
When Walsh ran the Knicks, Mills — then the Garden sports president — was demoted into more of a business than basketball role before ultimately resigning in May 2009. Garden chief Hank Ratner forced Mills’ exit, a source told The Post.
However, Walsh disputes Mills had nothing to do with basketball decisions when Walsh ran the show.
“I didn’t view it that way,’’ Walsh told The Post on Friday via phone from the Pacers’ offices in Indianapolis. “I felt at least with me, we talked basketball with Steve a lot. I don’t know what relationship he had with Isiah [Thomas] but we talked a lot about what I was looking at.’’
Walsh was the Pacers president last season and lobbied for Larry Bird to return to the organization so he can step to a less hectic role. Walsh’s new title is “consultant,’’ and he still goes to the office daily. Ironically, the Pacers’ second-round playoff ouster of the Knicks partially led to Grunwald being stripped of his duties.
“He’s got a lot of ability,’’ Walsh said of Mills. “So did Glen. They’re both really smart , coming from the basketball world. Steve has a lot of love and passion for basketball. He comes from a basketball world.’’
Mills, a former Princeton point guard, has not worked for an NBA team since leaving the Garden. He will forever be tagged with having hired Thomas amid an embarrassing era for the franchise.
“I was surprised because I didn’t know what was happening,’’ Walsh said of the shakeup. “It surprised me. First of all, I have a lot of feeling for Glen. But when I heard it was Steve, I thought, ‘He’s a good guy.’ That’s how I reacted. I think he’ll do a good job.’’
Walsh has always been Grunwald’s biggest fan.
“I have a lot of respect for him,’’ Walsh said. “He did a wonderful job taking the team from where it was to where it got. He got them to being a prime-time team. He did a good job. But I think Steve will be fine. He’s a real competent guy.’’
Dolan wanted Mills to spearhead the Knicks’ future revamping. They are slated to have major cap space in 2015, but first need to retain Carmelo Anthony, who can become a free agent. As the lead candidate to run the Players Association, Mills was known to have solid relationships with agents, players and coaches. Dolan envisions Mills and assistant GM Allan Houston as a solid recruiting tag team.
Walsh has admitted perhaps LeBron James was concerned by the Knicks’ recruiting pitch and Walsh’s health during the summer of 2010. Walsh was then bound to a wheelchair after hip replacement surgery.
“Look, in our world you have to know the agents, have good relationships,’’ Walsh said. “So when you deal with them, it’s not argumentative all the time. Steve has that. But Glen did that, too.’’
Walsh, meanwhile, is gung ho about the Pacers’ summer. They will get former All-Star Danny Granger, one of Walsh’s all-time best picks, back from injury. They obtained Chris Copeland from the Knicks as a free agent. They added a sturdy backup point guard in C.J. Watson.
“I think we’re better,’’ Walsh said. “The Knicks made some moves that could make them better, but I feel optimistic about our team.’’