The first academic scandal was not the end of New Mexico State's troubles. After McCarthy was fired in 1997, he sued the university for wrongful termination, and a deposition in that lawsuit produced a damaging admission: he acknowledged entering a verbal agreement to hire Fletcher Cockrell, then the head coach at Jones County Community College in Mississippi, as an assistant at New Mexico State if two of Cockrell's star players signed with the Aggies. Cockrell subsequently helped those players with coursework and exams, turning what looked like an informal recruiting arrangement into the center of a second academic-fraud investigation. New Mexico State withdrew from postseason competition for 2000–01 and placed the basketball program on two years' probation. The NCAA accepted those self-imposed measures but added four more years of probation and ordered the Aggies to vacate every game played in 1996–97 and 1997–98. McCarthy received a five-year show-cause order, while Cockrell—who had also been connected to violations at another school—received a ten-year order. The NCAA report emphasized the striking similarity to the 1996 case and warned that, without the university's corrective actions and removal of key officials, the program might have faced the institution's ultimate punishment: the so-called death penalty. The episode destroyed McCarthy's coaching career and left New Mexico State's late-1990s record and postseason history permanently altered.
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