Listen folks. Penn St. did break NCAA guidelines and they deserve what they get. I have taken the following directly from the NCAA Rulebook.
2.1 The Principle of Institutional Control and Responsibility
[*]
2.1.1 Responsibility for Control
[*] It is the responsibility of each member institution to control its intercollegiate athletics program in compliance with the rules and regulations of the Association. The institution's resident or chancellor is responsible for the administration of all aspects of the athletics program, including approval of the budget and audit of all expenditures.
2.1.2 Scope of Responsibility
[*] The institution's responsibilityfor the conduct of its intercollegiate athletics program includes responsibility for the actions of its staff members and for the actions of any other individual or organization engaged in activities promoting the athletics interests of the institution.
2.2.5 Fairness, Openness and Honesty
[*] It is the responsibility of each member institution to ensure that coaches and administrators exhibit fairness, openness and honesty in their relationships with student-athletes.
That's what I gathered from the first 2 pages of actual guidelines. Try to tell me the NCAA doesn't have any jurisdiction.