An example: Suppose there was an obscure rule that said professors must pass anyone who had taken the class three times. Some people take advantage, enroll for the same class three semesters, don't attend at all and still receive a passing grade. That would be a loophole. Dubious and contrary to the purpose, but technically legal.
What you describe is a circumvention or subversion of the system itself rather than a loophole.
An example: Suppose there was an obscure rule that said professors must pass anyone who had taken the class three times. Some people take advantage, enroll for the same class three semesters, don't attend at all and still receive a passing grade. That would be a loophole. Dubious and contrary to the purpose, but technically legal.
What you describe is a circumvention or subversion of the system itself rather than a loophole.