I think your point is right, but I admit I struggled here. It's trying to constrain the scenario, but it's both too unrealistic and not constrained enough for me to manage. Here's what I was thinking.

First off, torture as far as I understand has way worse outcomes than 75% success, and I don't think information like a full blown confession is very often had. But OK, 75% chance they find out where it is with a definite admission of guilt. No chance they get bad information during torture. Howw long do they do the torture to get that info? 1 minute? 23 hours and 59 minutes? Is that really enough time to dispatch the team? Let's say they have enough time though. The scenario says "if the bomb is found, there's a chance it can be disarmed." What kind of chance? 99%? .00001%? If they fail to disarm it, did you send a team of people off to die with the other 1 million? Or do they evacuate to survive? Is it worth potentially sacrificing more people on the chance you can help then?

It was just too much for me I guess. But truly I agree with you. Maybe over a longer period of time I can think more clearly about it with more constraints to help me.