Way to show your ignorance. Kentucky 4 seed lost to Auburn. Michigan St 2 seed lost to Nebraska, Virginia lost Va Tech, etc. Committee doesn't drop a team just due to one bad loss as you've so stated.
You can afford a bad loss if you play a home and away against the top of your conference., How many times did Indiana, play the top 3 of the Big 10, Purdue, MSU, Maryland? I believe only 1 time each. If they add 3 more games against these teams, and only play 1 against Minny, Illinois, Nebraska, they have the same number of wins? There is always a chance, but would wager it would be slim one.
Kentucky played their 2 conference tourney teams twice..
Virginia played UNC, Miami, Louisville twice,
The unbalanced schedule changes how teams are looked at, just because you win a conference does not mean you are better than the 2nd or 3rd place team.
MSU also has a victory over the top team in the country. Indiana lost to UNLV and Wake outside of the conference, which are bad losses given they were at a neutral site.
If Iowa beats Penn State they probably would have been seeded ahead of Indiana (MSU, Purdue, 4 games against vs 2 for the Hoosiers)