Well let me see. If I was a PSU football player I could (1) stay and play (2) Transfer without sitting out a year (3) Not play football and continue to go to school on scholarship. Not really seeing much actual punishment for the players. I know getting a free education is such punishment. Have you watched PSU football in recent history? They were not going to go to a BCS game (or playoff now) and most of those guys are not 5 star recruits.
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"A bad day fishing, is always better than a good day of yard work"