The Denver Nuggets moved on from J.R. Smith some time ago and especially with the acquisitions of Rudy Fernandez and Corey Brewer before the start of the season. Plus, Smith was over in China and expected play out the season there. However, it appears that the New York Knicks are making an effort to coax Smith out of the CBA and back to the NBA early. The Knicks Blog cites a Wall Street Journal report that mentions "provisions" for Smith to remunerate his CBA team if he did not play out his contract. Then TBK continues:
Multiple sources (waiting on confirmation) have told TKB that the Knicks would love to and are actively looking to add the former Nuggets’ sharpshooter to help their backcourt woes.
The Knicks are also expecting point guard Baron Davis to come back in late January or early February to help out with those issues that Smith is able to do as well. However, at this point there doesn't seem to be a concerted effort for this to happen.