INDIANAPOLIS—Fearing a postseason ban, Indiana University accepted an NCAA-ordered three years’ probation with relief Tuesday, eager to continue rebuilding its once-storied men’s basketball program.

After months of uncertainty over an embarrassing telephone recruiting scandal, the NCAA spared the school any additional punishment such as a postseason ban or additional scholarship losses.

But former coach Kelvin Sampson, the man at the center of the scandal, faces recruiting restrictions through November 2013 if hired by another school.

“I really believe this ...

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