Why does it seem that the Army awards system is based off of rank or the "Good Ol' Boy Club"?

Why is it that rank seems to play a major factor in a Soldier's award he/she receives?  A few years ago I recommended an outstanding Soldier for a Meritorious Service Medal.  He was a Specialist and had always performed well above his rank and performed all of his tasks and duties flawlessly.  I remember him telling me that I was the only person to ever write an impact award for him and he didn't want it, because he was just doing his job in his eyes.  This Soldier helps stand up 1st Combat Aviation Brigade when they moved from Germany to Ft. Riley, he performed at a SFC position for over 15 months during a deployment to Iraq and was commended by the MNFI Commander.  I understand that I couldn't write about his deployment EOT award when writing his PCS award, which I didn't.  This Soldier was vital to success of our unit.  When I submitted him for the MSM, I was laughed at by our First Sergeant.  The First Sergeant called me into his office and told me he would not submit the MSM all because he was a Specialist and we would be a laughing stock.  I worked hard on that award and his performance and the narrative justified the award.  I know that First Sergeants review everything that is set to go across the Commander's desk, just as Sergeants Major review everything that is set to go across the Battalion Commander's desk, but last time I checked, the First Sergeant's signature block wasn't on the DA 638.