Reservation & the gen comments

Sometimes, you get wild because something which you had not anticipated, or the unthinkable just happens and you just cannot do anything about it. All efforts to eradicate the "reservation for lower caste" menace went in vain and so did all the effort along with it. The most interesting part of the reservation theory which I read just a day back was that if this "thing" is implemented, a gen person with zero marks in chemistry can make it into the IIT. While students are obviously not in favour of such a 'stupid' decision, even the teaching community seem to have a common agreement. The argument is that even if the cutoff is lowered, the 'stupid' people will fill up the seats and leave the Prof in a dilemma as to "how to pass them". The whole standard of education will suffer and instead of an Indian institute of technology, the insti will have to be rechristened as "Backward Indian Institute of technology". (BIIT)
A good idea then struck to me, instead of having reservations in premier institutes, why can't these lower caste people be given a separate insti with all facilities in it like any other IIT. Even the Prof's can be of their caste itself (instead of having a whopping 49.5% of reservation of Profs from these castes in regular IIT's) and it is a win win situation for all.