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Aug 15, 2025 7:45 pm

New Mexico State, Greg Heiar settle wrongful termination suit

Greg Heiar
Photo by: GABY VELASQUEZ/ EL PASO TIMES / USA TODAY NETWORK

New Mexico State and former men’s basketball head coach Greg Heiar settled a wrongful termination suit on Friday with the university agreeing to pay him $600,000.

Heiar was fired on Feb. 14, 2023 – less than one year into a five-year contract with a $300,000 annual base salary.

Heiar’s dismissal came less than one week after New Mexico State cancelled the rest of the team’s season and placed the coaching staff on paid leave while the school investigated a police report that accused three players of hazing and sexually assaulting one of their teammates. Those incidents reportedly occurred from July 2022 to Feb. 2023.

On Nov. 19, 2022, New Mexico State forward Mike Peake shot and killed a New Mexico student in Albuquerque. While police ruled Peake acted in self-defense because he had been lured to the New Mexico campus by four students – including victim Brandon Travis – Heiar and members of his staff appeared to play roles in stunting the police’s initial investigation.

Heiar had his team board a bus to leave Albuquerque even though the police asked to interview three New Mexico State players. A member of Heiar’s staff, Lorenzo Jenkins, was found in possession of Peake’s gun while Peake’s phone later was found with an unnamed NMSU administrator.

Heiar’s contract called for a $1.2 million buyout if fired without cause, but NMSU denied that buyout by claiming he was fired “with cause.” Heiar, who currently serves as head coach for Trinity Valley (Tex.) Community College, claimed he was innocent.

In the wake of the settlement, Heiar’s attorneys sent a statement to KRQE-TV in Albuquerque.

“On behalf of our client, Greg Heiar, we are pleased to announce that a settlement has been reached in the arbitration of Coach Heiar and New Mexico State University. Coach Heiar is pleased that this matter is now fully and finally resolved to our satisfaction, and excited to continue his coaching career. Coach Heiar wishes NMSU, the men’s basketball program, and the Aggie fans all the best going forward.”

–Field Level Media

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