Ah, well if they are using the term "crystal meth" to refer to a powder form of methamphetamine, then that could be possible. But powder in and of itself does not necessarily mean it is an inferior product, it really depends on the producer, whether it's cut, etc. But "crystal meth" should not normally be used to refer to powder, that's why it called crystal meth, but it does sometimes come in very tiny crystals and I have heard of the term being sometimes used to refer to any methamphetamine. Even the "powder" is technically very tiny crystals, like salt, but in my experience "crystal" is normally used to mean large visible crystals. The particular terms used don't really have anything to do with the quality, it could just be that particular supplier is known/rumoured to have lower quality meth. A lot of people also believe that if it's large crystals that means it is definitely pure, but it is actually possible to create large crystals out of a cut impure product as well. I think it can be easier for them to cut it in the powdered form though.
Basically the reason it is suspect is because it is in powdered form, not because of the name "crystal meth", which can be used to refer to any meth.