Have you worked with them since they went through this regiment? Doing a DS&A coding problem regiment + system design will change you as an engineer. You might be surprised how good they've become.
Also they say they've forgotten. But if they were able to get that position, they probably could do medium level leetcode problems. So, I'd doubt they've forgotten all of it. I'm pretty sure they'd still be able to solve easy level problems, which most people can't solve off the cuff. They also probably still know the complexity of a bunch of essential backend operations (search, sort, array and hash lookups, tree & graph traversals, etc).