ozMBA, your story is kinda interesting. I think it'll be very very unfair to anybody if he (SHEs won't get dinged with that kinda score) gets dinged because of having a GMAT score in the low 700s. Giving Duke the benefit of the doubt, maybe the Indian / Chinese applicants who got in had as good experiences and progressions as you, and had a better GMAT score too?
As for the other admits from India having great GMAT scores, well, the sample taken from these forums (Or BW or admit411 or pagalguy) is still fairly small to form a conclusion. So I'd say to aurobindo and lanter (And others), "If you like Duke, apply. Then you can form your own opinion on whether they really are GMAT whores or not"