Yes it is, if you honestly think your reputation and networking plays no part then you haven't got a clue
I'm not sure what happened or who you talked to, I'm assuming lebovidge? But you have a serious misunderstanding of the process.
Are other people in your facility being let go? To higher priority facilities? Was the ranking list finalized when you saw it? There is a huge, I mean huge, number of people who are told or shown "their rank" is high to appease them, when they're actually submitted much lower. I'm not saying that's what happened with you, but it happens.
There's no "does this makes sense" in round one. It's strictly according to temporary rules can they pick up, and can the first/next guy on their priority list be released. The only caveat is the dev/cpc ratio rule is a touch more flexible now that they separate the different stages of training