Lue was left furious after Smith hugged Bucks bench player Jason Terry on the sidelines.
Lue was left furious after Smith hugged Bucks bench player Jason Terry on the sidelines late in the second half of Cavs blowout defeat.
With Smith's back turned, Bucks guard Matthew Dellavedova picked out a wide open Tony Snell who dunked unopposed to extend Milwaukee's lead.
"It was embarrassing moment," Lue said Wednesday of the play. "Me and J.R. talked about it. We're just going to move forward. We had a discussion about it, he felt embarrassed about it. It was an embarrassing play. We talked about it. We're moving on."
Smith on Wednesday blamed a "lack of focus" for the incident.
"One of the multiple things that compounded onto the loss was just as a team we haven't been as focused as we previously were," he said. "Winning and being who we are has a lot to do with that, but we've just got to overcome that and be better as a whole. It starts as individuals and then we can collectively become a group and team and have that mindset."
Lue meanwhile criticised Smith for attempting to tell a group of reporters he had no recollection of the incident while covering his face and head with a black ski mask.
"It wasn't right," Lue said. "I talked to him about that also. There's no need for that. Just address the media in the right way, move on. We got our butts kicked (Tuesday night). Give Milwaukee credit, they came out, they attacked us, they beat us. Now we've got to move on."