False. When Paladin tanking was changed in the Burning Crusade, they were better tanks for 10-man raids (karazhan, Gruul's Lair) because they had an easier time holding multiple mobs, whereas Warrior tanks had to do a ton of stance dancing and use moves outside of the enmity bonuses gained by Defensive Stance. Hell, pallies were even better for heroics like Heroic Shattered Halls.
When hybrids were changed as a whole in Wrath of the Lich King, paladins jumped to being one of the more popular tanks because of how Consecration and Hammer of the Righteous made it easy to hold multiple mobs and Avenger's Shield being an excellent pulling tool.
While paladins were seen as the trash tanks in TBC (mostly because people were having a really hard time seeing them as something other than healers), it was a ripple that became a tsunami by the time WotLK came. So no, Paladin tanks in in WoW were not notably inferior. Besides, if we had gotten the WoW version of Paladins in this game, we would be doing a ton of holy damage off of our attacks, we'd probably have a two-hander DPS option and could probably heal if we set our stats and geared for it.
PS: And we'd be much more proficient at AoE tanking. If you have to make a WoW comparison, what we got is closer to how prot warriors in WoW function, minus awesome stuff like Thunderclap, Shockwave, and the enmity bonuses from a defensive stance.