What up with that? Possible Louisville starter won't be on scholarship next year

That slick Rick Pitino at Louisville is living a charmed life, at least in terms of scholarships. From Card Chronicle:

The big news of Tuesday was the Rick Pitino press conference and, in particular, the announcement that Elisha Justice, Chris Smith, and Kyle Kuric would all be playing without a scholarship next season.

While I respect a pimp with such game that he can get a starting guard (Kuric) who played over 60% of the team's minutes, a backup guard (Smith) who played 60% of his team's minutes, and a walk-on (Elisha Justice) who did manage to play over 20% of the available minutes for the Cardinals to all pay their way to go to school and work with Louisville... isn't this against the spirit of walk-ons?

Smith, I understand. His brother, J.R. Smith, should be able to afford tuition (though players run out of money when lockouts happen) and Justice came as a walk-on.

Freshmen: Wayne Blackshear/ Chane Behanan/ Angel Nunez/ Zach Price/ Kevin Ware (5)
Sophomores: Gorgui Dieng/ Russ Smith/ Elisha Justice (walk-on)/ Mark Jackson Jr. (walk-on)/ Tim Henderson (walk-on) (5)
Juniors: Peyton Siva/ Rakeem Buckles/ Jared Swopshire/ Stephan Van Treese/ Mike Marra/ Luke Hancock (sitting out per transfer rules) (6)
Seniors: Kyle Kuric (walk-on)/ Chris Smith (walk-on) (2)

Come on. That's 18 players. How is this even allowable?!!!

Or as they say, What up with that?