100% positively without a doubt YES. it is the responsibility of the school's compliance staff to monitor all players and report all violations immediately.
To say that USC did not notice what was going on is either niave, stupid, or blatant homerism.
First - this “investigation” covered the years from 2001 to present. After 5 years of this, they arguably found ONE corrupt athlete. You punish that - not things you have no proof, or reason to believe, ever happened.