April 18 (Bloomberg) -- Isiah Thomas was fired as coach of the New York Knicks after the team tied a franchise record for losses in a season marked by turmoil on and off the court.

The dismissal of Thomas was announced by Donnie Walsh, who replaced the Basketball Hall of Fame guard as the team's president on April 2 and was given full autonomy by chairman James Dolan to turn the franchise into a winner again.

``I just think a new voice, a new coach, is necessary to change the direction of the team,'' Walsh said on a news media conference call.

Thomas will stay with the team in an unspecified role and the search for his successor will begin immediately, Walsh said.

``Isiah will be reporting to me,'' Walsh said. ``There will be nobody reporting to Isiah.''

Thomas had control of the Knicks for four years, never produced a winning record and made the playoffs once.

The Knicks finished their seventh straight losing season tied for the National Basketball Association's fifth-worst record, 23-59, while also boasting its second-highest payroll. The 59 losses match the franchise mark, set in 2005-06 under coach Larry Brown, who Thomas replaced. Thomas's coaching record with the Knicks was 56-108.

``I can't tell you really where he failed,'' Walsh said today. ``The bottom line is, we didn't win, and the team didn't look like it was motivated to try to win.''

There was no immediate comment from Thomas.

Lawsuit, Feud

Thomas's tenure also included a sexual-harassment lawsuit by a former executive against Dolan and the team's parent Cablevision Systems Inc. that centered on the coach, and feuding with his top player, former All-Star point guard Stephon Marbury.

Walsh, a 67-year-old native of the Bronx, came to the Knicks after more than two decades with the Indiana Pacers. He said he wanted to make the club competitive by next season.

``Competitive means making the playoffs,'' he said in an interview the day he was hired on April 2. New York last made the playoffs four years ago and hasn't won a playoff series since 2000.

Thomas said at the time of Walsh's hiring that he welcomed his old Indiana boss and looked forward to sitting down with him to discuss his future.

Those meetings took place over the last week at Madison Square Garden. When the Knicks finished the season with a 132- 123 loss to the Pacers on April 16, Thomas's run with the Knicks was over.

Turnaround

Dolan said Walsh's mandate was to ``do whatever is necessary to turn this team around. Our fans have been patient and loyal and deserve to have hope.''

Thomas, who led the Detroit Pistons to NBA championships as a player, coached the Pacers for three seasons, beginning in 2000-01. Walsh hired him and later gave President of Basketball Operations Larry Bird permission to fire the former All-Star guard.

The Pacers reached the playoffs all three seasons under Thomas. He never came close to the postseason while on the New York bench.

New York made the postseason once after Thomas joined the front office. Dolan installed him as coach when Brown was dismissed in June 2006, telling him he had to make progress with the team he had assembled. He received a multiyear contract extension in March 2007, with the Knicks in position to claim the Eastern Conference's final playoff spot. The Knicks then went 4-15 the rest of the way to miss the postseason with a 33- 49 record.

Losing Streaks

This season, New York had two eight-game losing streaks and two other seven-game winless stretches. They were beaten by the Boston Celtics 104-59 on Nov. 29, the third-worst defeat in franchise history. New York avoided scoring its fewest points ever when Nate Robinson heaved in a 3-point shot at the final buzzer.

``Fire Isiah!'' chants from fans filled the Garden, once home to championship Knicks teams framed around defense and team play.

Thomas's removal from the front office came six months after Cablevision and Dolan lost a sexual-harassment lawsuit filed by former marketing executive Anucha Browne Sanders that centered on Thomas. Browne Sanders testified that Thomas subjected her to obscenity-laced tirades and made unwanted sexual advances.

Cablevision Systems, which also owns Madison Square Garden, and Dolan were ordered to pay $11.6 million. The suit was settled on Dec. 10, with Browne Sanders receiving $11.5 million, according to the Associated Press.

To contact the reporter on this story: Aaron Kuriloff in New York at akuriloff@bloomberg.net.

Last Updated: April 18, 2008 18:00 EDT