Did you read the OP? The point of the article was that one can be great at that sort of thing and yet quite terrible as a production programmer. You are not measuring the skill you want with math problems, you are measuring a proxy.
Furthermore, I've known plenty of smart math people that just never seemed to be able to program (well). I think they are different skill sets, certainly with plenty of overlap, but plenty of differences as well, and those differences matter. I laughed out loud at the "variables, variables everywhere!" answer in the OP - I've had to deal with so much code written that way. Some people, very smart people, just don't 'get' design in that way. I worked with a guy that used to run around the office, asking brain teasers, sharing tidbits of knowledge, but he couldn't execute a basic project - couldn't plan what to do, couldn't do things in a rational order, couldn't experiment and gather data, couldn't incrementally design, develop, refactor, nor do a big-bang waterfall kind of design, and so on. He was not sorely missed when let go. Smart as a whip, and useless (for programming).
I've worked at several companies with staff mathematicians. Sooner or later they got their hands on a compiler. Oh my. No, let me do that. You tell me what is wrong with my Kalman filter, but I'll take care of the implementation, thank you.
Its easy to kvetch at somebody else's answer without offering an alternative (I do agree whiteboard progamming is disastrous). So, instead of asking math, why not ask them to write a simple routine, but then start asking real world problems about the code they would face - how would you make this API interface robust? What kind of documentation would you write. How would you handle errors? Is this code exception safe? Thread safe? How would you make it either/both of those. Suppose your problem size was n=100MM, how might you need to change this (say they have a data structure that loaded everything into memory)? Ask them some problems they will see in production - what is the network delay, or whatever your problem case is. You still get to see how they approach problems, but in the context of the actual decisions they will be making while programming for you.
Anyway, that is what I try to do. I am revising my thoughts even on that, because I find people flopping on the 'code the simple problem (and, it is simple)' yet doing great on all the engineering questions, and doing fine if we hire them.