Theyre both wrong
Though I think I understand where your point of view comes from, I couldn't disagree more.
Though you or I may disagree with them, as a sovereign state Israel is entitled to enforce whatever border controls they want.
Play stupid games with immigration, win stupid prizes. If this was the US or the UK, the would-be students would be looking at at least a ten year ban, if not lifetime. The people involved in the "Yeshiva" would be looking at hard time for immigration fraud.
Sorry, what these people allegedly did is self-centered and wrong. Your attendance at a wedding is not worth possibly causing hardship to thousands of families and bachurim.