Some people really seem(ed) to have an allergy to plain files for storage. A plain file with OS level caching will beat most (if not all) databases for static content. But doesn't sound as fancy, so it's probably harder to charge a lot of money for it.
Also, just repeated your comment to a friend who said "that's the worst thing you've seen? can i have your job?" :)
Your story here makes me laugh if only because of a very painfully familiar memory. Luckily this wasn't a big production system but rather an internal tool (that I guess clients did also use but it wasn't part of 'production' per se) that was written entirely in perl_cgi filled with cryptic regular expressions written in complete spaghetti code and it would concatenate together entire webpages that had bits of them rendered by including the contents of files strewn all over the file system and of course the logic to concatenate all the html together was strewn across a fistful of files which were in disparate locations. In short I was once asked to make a simple change to some html and after 5 days of reading through perl_cgi and developing a pure hatred for Larry Wall, I decided to do a java re-write that took 3 days. I mean... crikey. Haha.
This means lots of business-rule crap gets softcoded into the database or ini files (increasing complexity and bug-risk) just to support a hypothetical future where somebody needs it changed without a full sprint cycle.