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* Penn State football avoids “death penalty”

* NCAA president cites “tragically unnecessary

circumstances”

* No bowl games for four seasons, scholarships reduced

(Adds conference reaction, quote from new coach)

By Edith Honan

July 23 (Reuters) – The governing body of U.S. college

sports took sweeping, unprecedented action against Penn State

University’s revered football program on Monday in response to a

child sex abuse scandal, fining the school $60 million and

voiding the team’s victories for the past 14 seasons.

The school was not given the so-called “death penalty” that

could have suspended its football program but it was banned from

post-season bowl games for four years and had the number of

scholarships available to players reduced fro m 25 to 15.

Penn State officials were accused of not taking action after

being alerted to child sex abuse by former assistant football

coach Jerry Sandusky. The scandal tainted one of college

football’s leading coaches, the late Joe Paterno, and led to his

firing last year along with other top school officials.

The punishment, announced by the National College Athletic

Association at a news conference in Indianapolis, was

unprecedented for its swiftness and breadth. It was the latest

body blow to an institution still reeling from the child

molestation conviction last month of Sandusky, who was a

long-time assistant coach under Paterno.

In a scathing rebuke of Penn State administrators, NCAA

President Mark Emmert said the school had put “hero worship and

winning at all costs” ahead of integrity, honesty and

responsibility.

The case was another blotch on the diminishing legacy of

Paterno, who until Monday’s action had held the record for

victories among big-time U.S. college football coaches in a

career that spanned more than 40 seasons. Paterno lost that

status since the NCAA’s punishment includes voiding the Nittany

Lions’ victories between 1998 and 2011 – the time period

covering when allegations against Sandusky were first made and

San dusk y’s arrest.

Emmert said the NCAA chose not to levy the so-called “death

penalty” because it would have harmed individuals with no role

in the Sandusky scandal.

Later on Monday, The Big Ten Conference of college sports

announced Penn State would forfeit its share of revenues for

bowl games organized by the league, and the estimated $13

million would instead be donated to charities devoted to the

protection of children.

“TRAGICALLY UNNECESSARY”

“This case involves tragic and tragically unnecessary

circumstances,” Emmert said. “One of the grave damages stemming

form our love of sports is that the sports themselves can become

too big to fail, indeed too big to even challenge. The result

can be an erosion of academic values that are replaced by the

value of hero worship and winning at all costs.

“In the Penn State case, the results were perverse and

unconscionable,” he said. “No price the NCAA can levy will

repair the grievous damage inflicted by Jerry Sandusky on his

victims. However, we can make clear that the culture, actions

and inactions that allowed them to be victimized will not be

tolerated in collegiate athletics.”

In June, Sandusky, 68, was convicted of sexually abusing 10

boys over 15 years. He awaits sentencing and could be given as

many as 373 years in prison.

This month, former FBI director Louis Freeh released a

report that criticized Paterno for his role in protecting

Sandusky and the school’s image at the expense of young victims.

The NCAA penalty was handed down one day after Penn State

removed a statue of Paterno from in front of the university

football stadium.

Bill O’Brien , Paterno’s successor as head coach, said in a

statement he was “c ommitted for the long term to Penn State and

our student athletes.”

” I knew when I accepted the position that there would be

tough times ahead, ” he said. “I was then and I remain convinced

that our student athletes are the best in the country. I could

not be more proud to lead this team and these courageous and

humble young men into the upcoming 2012 season.”

Alan Milstein, a sports lawyer, said he agreed with much of

the penalty, but faulted the NCAA’s decision to reduce

scholarships and impose a lefty fine.

” I don’t know how you can say that money does not come out

of essentially the students’ pockets, whether it results in

increased tuition or a lessening of academic services.”

College football is a huge generator of money for major U.S.

universities such as Penn State because of large television

contracts and the mi llions of ti cket sales. Penn State’s

program, which Paterno led to national championships in 1982 and

1986, was rated the third most valuable by Forbes magazine.

NO NCAA INVESTIGATION

The NCAA acted with unprecedented speed, relying on Freeh’s

findings instead of conducting its own investigation, though

Emmert said the NCAA reserves the right to conduct its own

investigation at a later time.

Freeh’s report, commissioned by the university’s board of

trustees and released on July 12, said Paterno and other

high-ranking school officials covered up Sandusky’s actions for

years while demonstrating a callous disregard for victims.

Paterno was fired by Penn State’s board in November, days

after Sandusky was arrested for the abuse. Paterno died in

January of lung cancer.

In 2001, graduate assistant Mike McQueary witnessed Sandusky

assaulting a boy in the showers at the Penn State athletic

complex. McQueary told Paterno, who told Athletic Director Tim

Curley, who subsequently talked with then-university Vice

President Gary Schultz and university President Graham Spanier.

No one went to the police.

Spanier was fired in November at the same time as Paterno.

Curley and Schultz have been charged with perjury for allegedly

lying to a grand jury investigating Sandusky’s crimes and for

failing to report suspected child abuse. They have pleaded not

guilty.

The university is also under investigation by the U.S.

Department of Education for possible violations of the Clery

Act, which requires colleges to collect and report daily and

annual crime statistics and issue timely warnings.

(Additional reporting by Greg McCune, Barbara Goldberg, Joseph

O’Leary and Ellen Wulfhorst; Writing by Dan Burns; Editing by

Bill Trott)