Penn State costs from Jerry Sandusky scandal nearing $20M

Centre Daily TimesOctober 3, 2012 

UNIVERSITY PARK — Penn State has paid out nearly $20 million for the Jerry Sandusky scandal, according to the most recent university numbers.

As of July 31, the university has shelled out $19.2 million. Some of the costs are expected to be recouped under the university's insurance policy.

The university releases an update of costs from the case each month.

Sandusky, the former Penn State assistant coach who faces sentencing Tuesday, was convicted June 22 on 45 counts of child sex abuse. Sandusky, 69, most likely will spend the rest of his life in jail.

The $19.2 million total is up from $16.7 million in June. In May, that number was $14.5 million, and in April, $12 million.

The university spent $11.2 million on its internal investigation and crisis communications, which includes allocations to Freeh Sporkin & Sullivan, Reed Smith LLP, Ketchum, Kekst and Company Inc., Daniel J. Edelman Inc., Domus Inc. and The Acadamy Group.

More than $4.5 million went to the university’s legal services and defense, which included payments to Saul Ewing, Duane Morris, Lanny J. Davis and Associates, Jenner & Block LLP, ML Strategies, Lee, Green & Reiter Inc., McQuaide Blasko and Document Technologies Inc.

Externally initiated investigations totaled $119,452, which included paymets to Margolis & Healy, Lightfoot, Franklin, White LCC and Buchanan Ingersoll.

Officer's legal defense, which means Graham Spanier, Gary Schultz and Tim Curley, totaled $2 million. Curley and Schultz also face a felony perjury charge and stand accused of lying to the grand jury investigating Sandusky. They maintain they are innocent.

Payments for their defense went to Farrell & Reisinger, Caroline M. Roberto, Vaira & Riley, Schnader Harrison, Segal & Lewis LLP, Klink & Co., Corporate Security and Investigation, Bix-X-Bit, LLC, Gover, Perry, & Shore, Gentile Meinert Assoc, Fox Rothschild LLP and General Employees’ Defense.

Other institutional expenses totaled $1.3 million.

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