So what? Why not let there be flashlight apps if users find them useful? Apple doesn't have to recommend them in the app store and can sort them to the bottom of search results page. But why can't the exist. If people don't want them they will choose not to install them.
I'm fairly sure "Only high quality apps should be available to users" was said more than once when the Apple AppStore first launched (together with the second or third iPhone I think?). Apple isn't really into the whole "users can choose what's best" thing, which once you understand this, a lot of their choices become understandable (albeit shitty none the less).