European basketball star Toni Kukoc will sign...

European basketball star Toni Kukoc will sign with the three-time NBA champion Chicago Bulls, reportedly for seven years and a total of $14.63 million.

A spokeswoman for Benetton Sportsystem, Cheryl Silver, said the Bulls will hold a news conference in Chicago on Monday to announce the signing.

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Guard Rex Walters, the New Jersey Nets’ first-round draft pick, signed a multiyear contract.

Hockey

The San Jose Sharks have offered contracts to free agents Craig Simpson of the Edmonton Oilers and Kelly Miller of the Washington Capitals.

But Edmonton General Manager Glen Sather, upset at the possibility of receiving no compensation for Simpson, said he plans to appeal to the NHL.

San Jose’s director of operations, Dean Lombardi, offered Simpson a base contract of less than $200,000 for next season--meaning Edmonton would receive nothing. He will pay Simpson a “reporting bonus” of almost $800,000. Typically, compensation for a player such as Simpson would be two first-round draft picks.

“I don’t see this as a loophole,” Lombardi said. “I see this as Edmonton making a big mistake.”

Said Sather: “There are certain things that are done with integrity. You can’t circumvent equalization rules. I don’t think it’s a loophole. It’s a sham--that’s what it is. We have a code of ethics.”

Simpson scored 24 goals last season. He scored 43 during the 1987-88 season.

Auto Racing

Paul Tracy picked up where he left off at Cleveland last weekend by running at the head of the field in qualifying for the Molson Toronto Indy car race.

The 24-year-old Team Penske driver, competing on his home track, set a lap record of 109.545 m.p.h to take the provisional pole for Sunday’s race.

Ken Schrader broke his own track record at Pocono International Raceway in Long Pond, Pa., as NASCAR drivers tried to put Davey Allison’s death behind them.

Schrader’s 162.934-m.p.h. lap in a Chevrolet gave him the pole for Sunday’s Miller Genuine Draft 500. He beat his month-old record of 162.816 to earn his 15th career pole and circuit-leading fourth this season.

Track

Olympic 100-meter champion Linford Christie won easily at Birmingham, England, to qualify for next month’s World Championships at Stuttgart, Germany.

Miscellany

Arizona State baseball Coach Jim Brock underwent surgery to have malignant tumors removed from his colon and liver. Doctors said he is expected to recover completely.

The University of Texas and seven female students announced an out-of-court settlement of a lawsuit in which the women accused the school of denying them an equal chance to compete in intercollegiate athletics.

Alcorn State “made a grave error” in information provided to the NCAA that detailed the graduation rate of its student-athletes, the university’s president said.

The U.S. national soccer team will play Honduras tonight in Gold Cup action at Dallas. . . . The Kings and their minor league farm team, the Phoenix Roadrunners, have signed four veteran free agents--left wing Dan Currie, right wing Jim Vesey and defensemen Brian Chapman and Bob Jay.