What to know about the Michigan sign-stealing scheme and NCAA punishments

The NCAA imposed a multimillion-dollar fine on Michigan and suspended football coach Sherrone Moore for a third game on Friday for a sign-stealing scandal that has overshadowed college football’s most successful program for nearly two years. Here’s what you need to know:

What is the scandal about?

Reports surfaced in 2023 of a scheme run by now-former Michigan staffer Connor Stalions. The scheme involved a network of Stalions’ associates — dubbed the “KGB” — attending games and recording opposing team sidelines to capture play-calling signals. The NCAA said it found “56 instances of off-campus, in-person scouting of 13 future regular-season opponents” over 52 games over three seasons (2021-23).

The NCAA prohibits in-person scouting of same-season future opponents and using electronic equipment to record another team’s signals.

What did Connor Stalions do?

The NCAA said Stalions spearheaded the sign-stealing operation. The former Marine was accused of assembling a team of scouts which he’d send to games of upcoming opponents. Stalions’ network of scouts would provide him with film of signal callers on future opponents’ sidelines. The NCAA said he would then decipher the signals, giving Michigan a competitive advantage.

The NCAA said the extent of the operation is not fully known as Stalions and others involved have destroyed and withheld evidence. Stalions, a Navy graduate, was suspended by the school and later resigned. He recently said he knew almost every signal opponents used in seven games over two seasons.

What is a show-cause order?

A show-cause order effectively bans an individual from college athletics. In order to be hired for a college sports job by a school that is an NCAA member during a show-cause order, the prospective employer would have to make a strong case, or show cause, in front of the NCAA’s Committee on Infractions.

Former coach Jim Harbaugh, former assistant director of player personnel Denard Robinson and Stalions will be prohibited from athletic-related activities for years. Harbaugh was given the longest show-cause order, spanning 10 years after the conclusion of his current four-year order on Aug. 7, 2028. Robinson is banned for three years, and Stalions for eight years. Harbaugh, a former Michigan star quarterback, is heading into his second year as head coach of the NFL’s Los Angeles Chargers.

Is the fine significant?

Michigan faces financial penalties surpassing $20 million, including a $50,000 fine, a 10% fine on the football program’s budget, a 10% fine on Michigan’s 2025-2026 scholarships and a fine matching the projected loss of postseason revenue for 2025 and 2026.

Will that hurt a school with Michigan’s resources? All top programs are sharing up to $20.5 million this school year directly with their athletes and under the House decision scholarships are unlimited, though there are roster caps. That has forced schools to look for revenue sources from different places. In June, Michigan said revenues and expenses for its next fiscal year were expected to be $266.3 million.

What about coach Moore?

Moore had previously been issued a self-imposed two-game suspension by Michigan, which will be served this season. The NCAA levied an additional one-game suspension, which Moore will serve during next season’s opener. Moore received a two-year show-cause order but unlike Stalions and Harbaugh he will be allowed to fulfill coaching commitments and other related activities.

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