The University of Southern Indiana and Phi Delta Theta General Headquarters suspended operations of the Indiana Lambda Chapter in October 2017, in response to hazing and alcohol violation allegations.

After a thorough investigation conducted by the university and General Headquarters, the reported allegations were supported. The chapter had violated university and Fraternity policies and values. As a result of the investigation, the university has withdrawn recognition and the General Headquarters has closed its Indiana Lambda Chapter at USI. Phi Delta Theta has zero tolerance for hazing. Student and member safety is of paramount importance.

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Founded at Miami University in Oxford, Ohio on December 26, 1848, Phi Delta Theta International Fraternity has 187 chapters and colonies and 95 alumni clubs across the United States and Canada. To date the Fraternity has initiated over 260,000 men into the society whose founding principles are friendship, sound learning and rectitude.