As other people have mentioned, the goal of uutils was not "let's reduce bugs in coreutils by rewriting it in Rust", it was "it's 2013 and here's a pre-1.0 language that looks neat and claims to be a credible replacement for C, let's test that hypothesis by porting coreutils, giving us an excuse to learn and play with a new language in the process". It seems worth emphasizing that its creation was neither ideologically motivated nor part of some nefarious GPL-erasure scheme, it was just some people hacking on a codebase for fun.
Whether or not it was wise for Canonical to attempt to then take that codebase and uplift it into Ubuntu is a different story altogether, but one that has no bearing on the motivations of the people behind the original port itself.
You can see an alternative approach with the authors of sudo-rs. Rather than porting all of userspace to Rust for fun, they identified a single component of a particularly security-critical nature (sudo), and then further justified their rewrite by removing legacy features, thereby producing an overall simpler tool with less surface area to attack in the first place. It was not "we're going to rewrite sudo in Rust so it has fewer bugs", it was "we're going to rewrite sudo with the goal of having fewer bugs, and as one subcomponent of that, we're going to use Rust". And of course sudo-rs has had fresh bugs of its own, as any rewrite will. But the mere existence of bugs does not invalidate their hypothesis, which is that a conscientious rewrite of a tool can result in fewer bugs overall.