FCNK, well I think you hit the nail right on the head. Virgin is an ODD place. Yes, the interviewers probably knew the boss VERY WELL! YUK, can you imagine? I even know who you are probably talking about and she is even worse to fly with, if you can believe that. They are just taking revenge on BA as they have a BIG chip about the rubbish package at Virgin and the joke that they are seen as.
BA, even Eurofleet, is a more professional and friendly place to work. Everybody rejected by Virgin is a victim of the bitching and backstabbing atmosphere that runs rights through the company.
You probably looked TOO good and you are a threat to the little empire buliders that live in the Virgin Flight Centre.
Believe me, leave them all to it and enjoy working for a proper company with real prospects for a career and a decent salary and pension etc.
Good luck!