  We study finite groups $G$ having a subgroup $H$ and $D \subset G \setminus
H$ such that the multiset $\{ xy^{-1}:x,y \in D\}$ has every non-identity
element occur the same number of times (such a $D$ is called a {\it difference
set}). We show that $H$ has to be normal, that $|G|=|H|^2$, and that $|D \cap
Hg|=|H|/2$ for all $g \notin H$. We show that $H$ is contained in every normal
subgroup of prime index, and other properties. We give a $2$-parameter family
of examples of such groups. We show that such groups have Schur rings with four
principal sets.
