http://news.blogs.cnn.com/2012/08/31/penn-state-scandal-where-things-stand/ CLICK HERE 12 hours ago – The Penn Statefootball team on Saturday will start its first season since former defensive coordinator Jerry Sandusky was found guilty of ...
Lawsuits
Penn State already has been named in several civil lawsuits, and more are possible. The latest lawsuit, filed in August by a man authorities called "Victim 1," accuses the school of concealing the abuse. The first suit, filed against the school, Sandusky and the charity that Sandusky founded for disadvantaged youths, The Second Mile, was filed in November.
Penn State's primary general liability insurer, the Pennsylvania Manufacturer's Association Insurance Co., has been fighting the school in court, saying it shouldn't have to cover claims relating to the scandal. The company alleges the school did not provide it with timely information about Sandusky's behavior relevant to the insurable risk the association assumed.
The university has said it believes it has sufficient resources and insurance coverage to address "the financial obligations which may arise from known and expected litigation and claims as well as other costs associated with recent events.” The school’s president has said that no tuition, state or philanthropic money will be used to pay costs relating to the Sandusky matter, including legal defense or public relations efforts.
Department of Education investigation
The U.S. Department of Education is investigating Penn State's compliance with the Clery Act, a federal law that requires universities to report crimes on or near campus and provide timely warnings if reported crimes threaten the campus community.
The law carries fines of up to $27,500 per violation. Schools that fail to comply with the Clery Act also can be suspended from the federal financial aid program, according to the Department of Education