OK guys. I got to spend a little time working on this and I am circling back to give a little feedback.
You can't manually delete a virtual controller in Aruba Central (at least not at this time as far as I can tell). But what you can do is remove the IAP's subscription from Central by going to Subscription Management, unchecking the IAP's that are in the Virtual Controller you want to remove and unsubscribing them from Central. As an added measure I SSH'd into the IAP and erased the config and rebooted.
Then you can re-subscrobe the IAP's you removed and erased to Central by checking their boxes in Subscription Management, and assigning them to whatever group you want, effectivly moving them to a new group and/or VC.
That VC I wanted to delete after moving the IAP's out of was still there for a while. It seems that if you leave a VC empty with no members for a whle, Central just removes it entirely. This is just a guess since I logged in to check after a week and the VC I wanted to delete had disappeared.
Correct me if I am wrong, but all you need to delete a virtual controller in central is to just empty it of all IAP members and let it delete itself after a period of time.
Hope this helps.