As it happens, only four schools in the Sweet Sixteen have graduated at least 50% of their players. We're happy to report that Duke is in that quartet, at 67%. Kansas, in a nice post-Jayhawk tribute to Roy Williams, leads at 73%. Xavier ties Duke at 67%, and Vanderbilt is at 62%.
Duke and maybe Kansas (we don't keep up with Kansas close enough to know who jumped to the next level besides Drew Gooden) have lost players early to the NBA. Duke has lost Elton Brand, Corey Maggette, William Avery, Mike Dunleavy, Jason Williams, and Carlos Boozer. The latter three were on Duke's three-year plan, but we're not sure who actually finished on time. We're thinking Jason finished in summer school and Carlos is a few credits away, and we're not sure about Dunleavy. But we could be wrong on each account.
A similar issue comes up with transfers and JUCO transfers - Mike Chappell, Chris Burgess, Andre Sweet and Dahntay Jones count against Duke in the current formula - and against Michigan State, Utah, Seton Hall, and Rutgers.
This article goes on to discuss the NCAA's reform plans, which sound quite promising. There should be a way to deal with players who don't strictly fit into the current definitions.
Incidentally, we haven't seen the full study, but we would expect that Wake Forest, State, and UNC did well also. State used to run a very shoddy athletic department, but they made the decision to reform it, and they have never looked back.