Actually, there is some spark of truth behind the whole ordeal. If you look at an interview that was made around the time FF III DS was released in Japan, they mentioned that they had originally thought about bringing it to the PS2. So this rumor is most likey someone hearing this tibit, and thinking it was a report of what was going to happen, not a dissmissed idea.

Tying into my last paragraph, Undnce's statement probably has a sliver of truth in it. The person who reported this probably did want it on PS2. Thus, this news would have been like a dream come true for them, and they would take it and run with it.