Paterno painted himself as "old-fashioned Joe" when it served him well, and he may well have privately talked with Sandusky at some point, but simply being "fooled" doesn't jibe with the timeline. We know that Paterno knew about the 1998 investigation and was keenly interested in how it progressed. If that were the first time Paterno learned of Sandusky's ways, talked with him then and was "fooled" at that point, it's amost understandable. But to be informed in 2001 about the shower rape, knowing what he already knew from 1998, and still do nothing -- worse than that, let the brass know he didn't want them to go to the authorities -- and STILL to allow Sandusky to bring young boys to Penn State facilities... well, it's hard to make any sort of argument that a reasonable person could still be unaware of what he had in his house.
My own opinion is that Paterno simply became too enamoured of himself. Conciously or subconciously, he saw himself as a king in his own kingdom, and saw the football program as his sole purview. He was not to be questioned. He made the rules. Keep in mind that the Sandusky case was not the first time he had stonewalled, hid or interfered with an investigation.
http://www.usatoday.com/sports/coll...-11-22/11-22-11-Paterno-Discipline/51346682/1
In the end he went to his grave still insisting the 13 years (or more) that Jerry Sandusky was allowed to use Penn State football as a honey trap for young boys was "not a football scandal" (that's what Paterno said in his final e-mail to former players). He even took advantage of the short period before the final Sandusky affair came to light to push for an unscheduled raise for himself. Paterno certainly did some good things -- donations, assurance of a good graduation record, etc. -- but knowing what we all now know, it certainly seems that Joe Paterno's greatest concern was Joe Paterno.
Whatever happens to Penn State now -- death penalty or something less -- they really need to start a completely fresh page with the football program. There should be no holdovers from the Paterno days. Remove the statue, change the uniforms, start on a completely blank page.