The NCAA statement read:
The university and the NCAA enforcement staff agreed on the set of facts in the case, which led to the determination that a violation occurred. NCAA member schools have established standards to determine when an individual may provide financial assistance to student-athletes. These criteria, which were not met in this case, are in place to identify when benefits are provided based on a student-athlete's athletic ability.
Muhammad has been under investigation by the NCAA for connections between his family and a financial planner that gave money to Muhammad's summer team in Las Vegas.
Muhammad was rated as one of the top high school players coming into college basketball this season and was the crown jewel of Ben Howland's recruiting class. He is also one of the big reasons that UCLA opened the season ranked No. 13 in both major polls. Both he and fellow incoming freshman Kyle Anderson were under NCAA scrutiny most of the summer and fall. Anderson was just recently cleared to play last week.
The silver lining for the Bruins is that the NCAA hasn't revealed if Muhammad is completely ineligible or still will be able to play some games this year.