They were trusting of contributors to not be malicious, and in particular, were trusting of a university to not be wholly malicious.
Sure, there is a possible threat model where they would need to be suspicious of entire universities.
But in general, human projects will operate under some level of basic trust, with some sort of means to establish that trust. To be able to actually get anything done; you cannot perfectly formally review everything with finite human resources. I don't see where they went wrong with any of that here.
There's also the very simple fact that responding to an incident is also a part of the security process, and broadly banning a group whole-cloth will be more secure than not. So both them and you are getting what you want it of it - more of the process to research, and more security.
If the changes didn't make it out to production systems, then it seems like the process worked? Even if some of it was due to admissions that would not happen with truly malicious actors, so too were the patches accepted because the actors were reasonably trusted.