New York ? Latrell Sprewell sued a newspaper, spouted off and was suspended on Monday.

On a day filled with developments related to Sprewell’s injured right hand and his relationship with the Knicks, the rift between everyone involved only seemed to worsen.

In the morning, Sprewell’s agent announced a $40 million lawsuit against the New York Post for its account of how he got hurt. Sprewell later met with reporters and denounced the way the Knicks have treated him, which was followed by an announcement from the team that Sprewell had been suspended one game for failing to follow his rehabilitation procedures.

“They keep pushing me further away,” Sprewell said.

Knicks president Scott Layden announced the suspension, which will cost Sprewell $140,000 1/90th of his $12.6 million salary. Already banished from the team until he can make “a positive contribution,” Sprewell will now be banned from Madison Square Garden tonight when the Knicks play the Utah Jazz.

“We are very disappointed that we have to take these steps with Latrell, but his actions with regard to his rehabilitation have left us no choice,” Layden said.

Sprewell’s lawsuit, filed in New York State Supreme Court, seeks an additional $250,000 from the Post for the amount Sprewell was fined by the team for not promptly reporting his injury.

Named in the suit was Post staff writer Marc Berman, who quoted two anonymous sources in an Oct. 4 story that said Sprewell was injured when he hit a wall while throwing a punch at a man whose girlfriend vomited aboard Sprewell’s yacht.

Sprewell called the Post account “ridiculous.”

“I slipped and tried to brace my fall on the deck of my boat,” Sprewell said.