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They finished in first place in the ABA Eastern Division, defeated the Carolina Cougars and Kentucky in the first two playoff rounds, then overpowered the Los Angeles Stars in the ABA Finals, four games to two.
Roger Brown threw in 45 points, including 7 three-pointers, in the decisive Game 6.
After a decade and a half of failure, the team finally began to play .500 ball in the early 1990s.
By mid-decade, the Pacers had become one of the Eastern Conference's top clubs.
But they turned it around, won the Eastern Division title, and beat the Kentucky Colonels and Miami Floridians in the playoffs to reach the ABA Finals.
Daniels pulled down a team-record 26 defensive rebounds in a December 29 game against the Floridians. Indiana defeated the Denver Rockets and Utah in back-to-back seven-game sets, then downed the Rick Barry-led New York Nets in six games for the title. Their 51-33 regular-season record included an 11-game winning streak.
Indiana finished second to the Utah Stars in the Western Division but prevailed once again in the playoffs, besting Kentucky in a seven-game ABA Finals series.
That year's Pacers team scored at a frantic pace, averaging 119.6 points, a franchise record that still stands.
Indiana was loaded with talent, most notably second-year center Mel Daniels, who averaged 24.0 points and 16.5 rebounds and was named the ABA Most Valuable Player.