Wait, I was wrong... Sandusky was witnessed several times and 1998 is another event.
If you think for a moment that Paterno didn't know one of his coaches working under him didn't have a history of abusing kids (before 2002) ON Penn State property, you would have to be a complete moron. Frankly, the more I look at the documents, the less I think of Paterno.
It looks like the kids that were effected can sue Penn State (it doesn't necessarily fall under government ownership, per the lawyers) and I hope they sue Second Mile, Penn State, and the football program until they are so broke they are playing without pads.