Anyone out there who failed the local exam but was given an eligiblity?

Generally I think you will find if you have taken and failed you still have to declare it so most would request a license. Better not to take in this case

Look at it from the other side if the question:
Would you wish to grant a license to someone that was unable to pass their own local license? I think not.
Adn I suspect that not one state is going to permit one to sit for the NCLEX if they have actually written the NLE and then did not pass it. In the past, when the exam was not required by many states, if one did not write it, then not a problem; but if written, then it needs to be passed.
More important and very practical item to think about is that the writing of the NLE has to be declared on any application for the US and to any BON if it has been written as a start. Other issue is that if you have written the NLE, it must be passed in order to even get the Visa Screen Certificate. This is a requirement of CGFNS and why there were all of the issues the summer of 2006 with the NLE fiasco.

And to top it off, every other country requires the local license as well as your own country to gain experience; if you do not have any and with a wait of probably 7 years to get a chance for a visa for the US, what are you going to do about that?