Indiana recruit Ron Patterson, one of five members of the program's highly touted 2012-13 recruiting class, will not attend the school this fall.
The recruit will transfer after failing to meet the school's academic requirements. Coach Tom Crean issued a statement wishing Patterson well and promised to be "supportive" of whatever he chooses to do.
Patterson will seek a spot at another four-year college or prep school, where he could enroll in a postgraduate year.
The loss alleviates Indiana's scholarship crunch, which until Wednesday included nine returning scholarship players and five incoming recruits, one more than the NCAA maximum of 13. Patterson's departure brings Indiana to 13 total scholarships for the 2012-13 season.
Patterson, an Indianapolis native, is the No. 25-ranked shooting guard in the class of 2012.
As a senior at Broad Ripple High School in Indianapolis, he averaged 18.5 points, 6 rebounds, 4 assists and 2.5 steals per game. The Hoosiers' incoming class -- which also includes top-100 players Yogi Ferrell, Jeremy Hollowell and Hanner Mosquera-Perea -- ranks No. 11 in the country, according to ESPN Recruiting Nation.
Information from The Associated Press was used in this report.