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OG in Drupal 7 does not delete content of the group when the OG content type is deleted.
This module is an extension to OG that allows the group owner/admins to delete associated nodes when the group is deleted. This module provides following options which were available in Drupal 6.
1. Delete all the content associated with group.
2. Delete the group and make the content public.
3. Move all group posts and memberships to the different group. This option is visible only to site admin who has access to 'administer nodes'.