NCAA fine, legal fees raise Penn State bill for Jerry Sandusky scandal

mcarroll@centredaily.comMarch 14, 2014 

Penn State spent $18 million on its response to the Jerry Sandusky scandal in the last chunk of 2013, pushing its bill for fines and legal fees to nearly $70 million, the university reported.

The latest figures, updated Friday, show that Penn State spent $69,832,863 through Dec. 31 for work done by more than three dozen firms and in fines paid to the NCAA. That’s up from the $51.8 million the university shelled out through Aug. 31, the last time period for which Penn State provided an accounting of the numbers.

Of the $18 million Penn State spent in those four months, $12 million, the largest chunk, went toward the fine imposed by the NCAA for the Sandusky scandal, according to the update on the university’s Progress website. The remaining $6 million went toward lawyer fees for a variety of legal expenses .

The update didn’t include the $59.7 million Penn State will pay out to 26 men who say they were abused by Sandusky and who have settled civil claims through a university-appointed mediator. That raises the known cost of the scandal to about $130 million, and when factoring in the remaining $36 million to be paid to the NCAA, the total is almost $165 million.

Aside from the money paid toward the NCAA fine, Penn State spent the most between the ends of August and December to pay the defense lawyers for former administrators Graham Spanier, Tim Curley and Gary Schultz, who are awaiting trial on perjury, obstruction of justice and related charges. The lawyers billed the university $1,720,942 over those five months.

The legal defense for the former employees has cost Penn State more than $8.6 million in total. The university has an insurance policy that will cover some of those costs, outgoing President Rodney Erickson has said.

Also included in the latest update were $1,418,950 in expenses under university legal services, and $1,368,028 in bills from firms doing work on external investigations.

Former Sen. George Mitchell billed the university $671,407 during the period. Mitchell was appointed by the NCAA to monitor the university’s compliance with an athletics integrity agreement that is a part of the consent decree. Altogether, Mitchell has billed Penn State $2.8 million.

Penn State was also billed $810,071 for legal fees and consulting for the board of trustees and $51,340 in other expenses related to the Sandusky scandal.

It’s the first time Penn State has updated the numbers since November. In 2013, the university was providing monthly updates, but now will put out new numbers every six months.

Matt Carroll can be reached at 231-4631. Follow him on Twitter @Carrollreporter.

Centre Daily Times is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere in the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. Thank you for taking the time to offer your thoughts.

Commenting FAQs | Terms of Service