A university spokesperson confirmed to Edward Aschoff of ESPN that the suspensions were due to improper charges on the players' student IDs at the school bookstore for items that were then sold for cash.
"We have a small group of players that have made some choices that are extremely disappointing," head coach Jim McElwain said in a statement. "Action has been taken - they have missed some practice and will miss the Michigan game. We will use this as a learning opportunity and we will have some players step up as we move forward."
It's the latest off-field incident to plague Callaway, who was suspended from team activities during the spring semester in 2016 following a sexual assault allegation. He was eventually found not responsible and played in 12 games last season, posting 721 receiving yards on 54 catches.
Davis is likely the only other player among the seven that would have contributed against the Wolverines, as he started five games in 2016 and registered five tackles in the SEC title game.