That would cause a wobble. Was it on the rear? Rear wheel out of true or balance is often the cause of a shudder between 60 and 70 mph.
Not sure if it would be a failure even if he had spotted it. The actual wording of the reason for failure is " a wheel badly damaged, distorted or cracked, or with a badly distorted bead rim" and it would depend on whether he thought it was badly damaged or merely damaged (or if he also sells alloy wheels).