True, Much evidence supports the claim that elite colleges prefer admitting children or relatives of wealthy and successful parents over equally qualified applicants who don't have these connections.
Legacy admissions, which give applicants tied to alumni preference, are common at many top schools. One study found that 43% of white students admitted to Harvard were either legacy students, athletes, children of donors, or children of professors and staff. Interestingly, almost 70% of legacy applicants were white, and being a legacy candidate raised the chances of getting in by a factor of seven.
https://www.salon.com/2019/10/06/harvards-systemic-nepotism-revealed-43-percent-of-admitted-white-students-were-legacies/
This unfair approach often means that highly qualified students who don't have family ties are left out. As an example, the American Civil Liberties Union (ACLU) pointed out that legacy applications favor white, wealthy students, which keeps racial and economic gaps alive. At Harvard, the rate of legacy acceptance is more than five times higher than the rate for non-legacy admission, but only 16% of the admitted class is black.
https://www.aclu.org/news/racial-justice/how-ending-legacy-admissions-can-help-achieve-greater-education-equity
The idea behind legacy admissions comes from trying to keep top schools completely similar. In the 1920s, Ivy League schools put in place legacy preferences to keep their primarily white, Protestant student groups and keep Jewish immigrants from enrolling.
https://freshman.academy/tpost/iptev2avd1-the-culture-of-nepotism-in-american-univ
To sum up, legacy admissions at top colleges give big advantages to applicants with family ties, often at the expense of candidates from less fortunate backgrounds who are just as qualified or even more qualified. This practice makes inequality worse and goes against the idea of meritocracy that colleges and universities say they support.
https://apnews.com/article/california-colleges-legacy-admissions-1db4e1163c48045ce5c996ef7d5a9896
https://www.wsj.com/us-news/education/california-bans-legacy-admissions-at-private-colleges-7818df1d
https://people.com/california-bans-private-colleges-legacy-donor-admissions-preferences-8720713