Mike Dunleavy contributed 13 points and A.J. Price chipped in with 11 off the bench in the win, in which Granger pumped in 14 first-quarter points to give the Pacers a quick start from which the Knicks couldn't recover.
Danilo Gallinari (17 points) hit a 3-pointer to pull New York to within three points at 75-72 with 7:27 to go in the third period, but the Pacers answered with a 13-6 run capped by Price's trey with 4:18 left.
David Lee posted 16 points and hauled down 16 rebounds while Earl Barron chipped in with 15 points and nine rebounds for the Knicks.
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