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As the title suggests, I have heard that most moot/ADR competitions taking place nowadays exhibit a very strong bias towards the NLUs/elite college and that it’s almost impossible for a non-nlu team to win/get a decent position in a good national/international competition as apparently the organisers decide way beforehand on which teams will reach the knockout rounds, with sometimes even the judges being a part of such wretched schemes (as the organisers don’t want to lower their reputation by allowing a non-nlu team win/reach the finals of their β€˜prestigious’ competitions). If this is true, is there even a point taking part in such co-curricular activities as a non-nlu chap?
The only elite colleges are the top 5 nlus. Anything else is a TLC or a lowly private university
I don't think there's a thing as such that there's a strong "conspiracy" of sorts to stop the lower, supposedly non-elite colleges from reaching the top. Most of the reputed competitions have maintained a level of professionalism by going with anonymity and outside judges to do away with any bias (Though feel free to share if you have an otherwise opinion)
It does come down to a factor of the college's personal ability and alumni. An elite college by your definition would ideally have a developed MCA/ADR cell that would help participants by organizing intra-college competitions and providing information on inter-college competitions and helping them. An alumni network to learn from is also an important factor, since talking with an experienced person can give a good roadmap.
This of course is not to undermine the abilities of the students from these non-elite colleges, it's just that they may not get the ideal platform to develop their abilities compared to top tier ones.
There is an ADR competition where even NLU's are being discriminated. 😎🀣 It's also called as the most racist ADR Competition in Indian History.

LEX INFINITUM by V.M Salgaocar College of Law, Goa.

Check thier winners. Most participants are from India. But almost all winners are white people from foreign universities who are amongst the minority.

To give the competition an international acclaim they only allow white people to win in India.
No. Amity Delhi, Symbiosis Pune and various other non-NLUs participate in the best moots in the world like Vis and Jessup, and often break too. Lloyd Law college recently reached the final of the ICC Asia Pacific mediation competition which is one of the top ADR competitions in the world.

The likelihood of this is just rarer, because NLU students have access to better resources and more successful alumni who help them out. But there's definitely no "wretched schemes" as you are alleging, most international competitions are run by independent organisations and judged by international lawyers who honestly probably can't even distinguish between NALSAR and NMIMS.
I myself have seen organizers glove-in-hand with their favorite law college/university and helping them to win.