I don't care what you personally believe but please don't spread that misinformation to others.
Sounds like you are confused over how exactly WiFi location services work; like the guys in the video from last last year. I won't get into it all now but suffice to say you don't need to actually be connected to the Wifi networks around you in order for them to be used for location services--or even be able to see them in the list of available networks. Secured wifi networks are used too (all Wifi networks broadcast their MAC ID out in the open and that is all that is required for the database dip).
Again, a wifi iPad receives nothing in the way of GPS data from simply tethering to an iPhone 4 or 4S.
Michael