The University of Maryland is expected to announce today the suspension from the basketball team of indicted players Terry Long and David Gregg, sources said last night.

The two players also face action by the university's Student Judicial Board for possible violations of the student code of conduct on the morning of June 19, when they were with star forward Len Bias when he collapsed in his dormitory suite.

A Prince George's County grand jury investigating Bias' cocaine-induced death last week indicted Long, a 22-year-old junior center, and Gregg, a 19-year-old freshman forward, on one count each of possession of cocaine and obstruction of justice. Each charge is a felony.

Their arraignment is scheduled for Aug. 8.

Sources said the Student Judicial Board is likely to defer any action until the criminal charges against the two players are resolved. The Student Judicial Board, whose actions are not made public, could impose a wide range of sanctions, including expulsion, if it were determined that Long and Gregg violated its code of conduct.

Athletic Director Dick Dull and Chancellor John B. Slaughter met yesterday to decide what action to take against the two players. It was unclear whether the players would be reinstated to the team if they were found innocent in court.

Slaughter said announcement of his decision was being delayed until 10 a.m. today because "we feel it's important to wait until tomorrow . . . so that everybody who needs to be aware of what we're going to do is aware."

Dull, who a high-ranking official last week said would recommend suspension from the team pending the outcome of the criminal charges, was unavailable to comment.

Under NCAA rules, athletic scholarships are renewed annually and players must be notified by July 1 if a university intends not to renew them. Sources said the scholarships of both Long and Gregg were renewed earlier this month.

Alan Goldstein, the players' attorney, has said his clients hope to return to the team. Long's status is tenuous, however, because a faculty committee is reviewing whether to allow him back in school this fall in light of academic difficulties.

Driesell said last week he has a policy of not commenting on the Bias case.