It's a bit strange to have someone non-technical interviewing a techie. You end up with stupid discussions like the one about Quicksort. If you point out qs is one of several things with the same big-O, you'll probably also get it "wrong". But the real problem is that a guy who is just reading off a sheet can't give any form of nuanced feedback. Was the guy blagging the sort algo question? Did he know if in detail? Does he know what the current state of research on that area is? There's no way to know that if your guy is just a recruiter, but I'm sure even a relatively junior coder would be able to tell if someone was just doing technical word salad.
I wonder what would happen if ordinary people recruited for medical doctor jobs? Would you be comfortable rejecting a guy who'd been in medical school for 10 years based on his not knowing what the "funny bone" is? Wouldn't you tell your boss that you felt a bit out of that league? It's amazing you can get someone to do this without them going red in the face.