The NCAA announced Friday it has hit the University of Michigan with one of the largest financial penalties in college football history for running an illegal in-person scouting and sign-stealing scheme – ordering the school to forfeit more than $20m in postseason revenue – but stopped short of banning the Wolverines from competing in the playoffs.
The financial hit stems from postseason football payouts over the 2025 and 2026 seasons, a figure projected by multiple sources to exceed $20m and potentially surpass $25m based on historical Big Ten and College Football Playoff distributions. Michigan was also fined $50,000, assessed 10% of its football budget, and will lose the financial equivalent of 10% of its football scholarships for 2025–26. Other sanctions include a 25% reduction in official visits for the 2025–26 season, a 14-week ban on recruiting communications, and four years’ probation.
