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The Government of India has only one approach since CCP style doesn't work here, either make a Korean/Nippon esque DAPA/ATLA equivalent directly under PM with all the Procurement-R&D-Product lifecycle management under one agency to remove Dalal's bidding and Imports.Its true, its true for ALL nations, including gora nations w.r.t Murrica, with the notable exceptions of Russia,Japan,Germany & China.
There is no steps you can take against this, because nobody wants to see a situation where their own kids are barred from going to MIT or Harvard or Eton or whatever super high fancy top institutions in the world are.
Nobody and no society is going to ban their own children from accessing the best of the best in education known to man. At best, they will do what China/Russia did/does : look at the famlies of those children going overseas very very closely and if those children start to be a liability, exert pressure on their families etc'.
Its been known in spy-beurocracy circles for decades now: while everyone else tries to honeytrap you or come up with fancy plans to get info from you, CIA is the only one that gets the 'full scholarship to MIT for ur kid + green card + fortune 500 job' as an incentive. Even the Canadians or Aussies fall for this, so India is small potatoes at this.
The only way out, if you dont want Russia-China model over its people, is to have your own institutions of equal repute as MIT is, amongst your people, like Japan or Germany does (which genuinely DO have unis as good as MIT in every inch of undergrad+postgrad quality but suffer from non-english factor in post grad output/fame) AND also be a developed nation, so saying you are gonna give MIT scholarship +green card isnt that big of a deal to a straight A japanese/german engineering student's beurocrat dad.
As for #3 - yes, that works. The key to Chinese homogenized society, along with their long-standing govt beurocracy, is that its the Chinese who came up with transfer system for governors+generals in commanderies, with nobody spending more than x years at a given commandery+province as governor.
It creates its own class/caste specific problem, as it did with the beurocrat class in chinese society and its interests being served over the greater good of society, but it does work in terms of short term cohesiveness and relative lowering of corruption.
Will be very hard to do in India, where the entire power architecture is rooted in local rooted-ness and finding local bigwig to collaborate with the central power.
Unlike China, India does not have the institutionalism in place with the right amount of authoritarianism to make such a power structure viable imo.
In regarding loyalties elsewhere, can't govt atleast ban Military Top Brass relatives settling abroad cause unlike Bureaucrats here is a matter of National Security? I mean USA has something like that in place.