The school, a traditional basketball power, was cited by the NCAA for 10 violations concerning recruiting, extrabenefits and preferential treatment. It was spared more severe penalties because of its internal investigation.
Louisville coach Denny Crum, clenching a rolled-up program in his trademark sideline habit, was relieved over the lenient verdict.
"I'm proud of our program,'' he said. "It's impossible to control everything. Nobody wants to be on probation, but I feel good about this outcome and I feel good about the process.''
The school sent a 31-page report to the NCAA in February that uncovered nine of the 10 violations.
"This case is an indication that presidents are taking some control,'' said David Swank, chair of the NCAA Infractions Committee.
"You're still going to get violations, but when the university finds out about it and takes the steps the University of Louisville did, it's an indication of a real commitment to compliance. This was a model response.''
Louisville president John Shumaker said he is concerned about the probation tarnishing the school's image.
"This is a warning signal to us, but I take comfort in the fact the NCAA recognized that we did everything we could to conduct a hard-nosed investigation and make sure we took the corrective action to make sure this doesn't happen again,'' he said.
The announcement ended a 1 1/2-year ordeal that started with a report by The Courier-Journal surrounding phone calls made to a Louisville recruit by former volunteer strength coach Jimmy Thompson.
The NCAA accepted various penalties that the university had imposed against itself.
The case arose from questions concerning former player Samaki Walker's use of two cars during the summer and fall of 1995. It eventually included improper contacts with recruits made by Thompson and improper phone calls and contacts made by former assistant coach Larry Gay.
The university was ordered to implement an educational program on NCAA legislation, send its men's basketball staff to an NCAA regional compliance seminar, recertify the school's athletics policies and see that players complete car registration forms at the start of the school year.
"We've put safeguards in place now that will allow us to better monitor those kinds of issues,'' Crum said.
"We should be more on top of things from now on."