MADISON, Wis. -

A University of Wisconsin-Madison campus fraternity has been suspended for two years following a report of a racial incident involving two African-American female students and members of the fraternity.

UW-Madison's Delta Upsilon fraternity chapter has been suspended in the wake of violations of Student Organization Conduct policies, according to a UW-Madison news release.

The university's Committee on Student Organizations levied sanctions on the chapter that prevent it from holding events, reserving space or enjoying the other privileges of student organization status. In addition, the organization will temporarily lose all membership privileges in the Interfraternity Council.

In the 2013-14 academic year, the group faces a structured suspension that would allow recruitment activities to resume under close supervision from the Center for Leadership and Involvement, according to the news release.

The suspension stems from actions of the chapter and its members during an incident involving two female UW-Madison students on March 16.

Two female students reported walking on the fraternity's property at the shore of Lake Mendota in the early-morning hours of March 16 and said that, unprovoked, they became the subject of racial slurs and class-oriented taunts from students who were holding a party on the fraternity house porch.

The women reported that they proceeded to leave, but before they could do so, a glass bottle was thrown at them. No one was injured.

In its review, the committee expressed concern over the role of alcohol in the chapter and in the incident. The incident occurred 22 days after Delta Upsilon was removed from alcohol probation for an underage drinking violation in 2011.

In the committee's report, the nature of the taunts and whether the bottle was thrown intentionally at the women were not substantiated due to conflicting accounts of the incident, according to the news release.

The chapter can appeal the Committee on Student Organization's decision.