If they submit projects they did not contribute to then that is an issue. Your other points however, I disagree with.
- all code I write commercially will have dozens of contributors. It's a team sport and you need to be able to play well with others to succeed.
- the best place to get experience is in the works place. That is why folks hire juniors. They will have massive gaps in their knowledge, but they will also be keen and in learning mode. Help them improve and become great developers. They will do much better in a commercial environment with good guidance than struggling at home alone