Faust and the Iliad are works in the public domain with many dozens of translations, most of them trying hard to be "faithful" or "accurate" in one sense or another. When they're retold, adapted, reinterpreted, they're not usually billed as the original work, but rather a retelling or what have you. Joyce didn't stick Homer's name on Ulysses and bill it as an English version of the Odyssey (just set in Dublin to better fit regional tastes and cultural norms). Retellings, adaptations, reinterpretations aren't relevant here at all - I'm not sure why you brought them up in order to defend acts of (poor) translation.
It's almost hard to draw an analogy to other art forms, because they're considered legitimate and no one tries to do this to them. When Cien años de soledad became 100 Years of Solitude, its depiction of sexuality and themes of incest weren't excised to appeal to more conservative anglo sensibilities. When Parasite caused a sensation in the west a couple of years ago, the
version we saw didn't somehow try to pretend it was set in New York or rename Kim Ki-taek to Fred Jones or something. Even genre fiction usually gets treated better than this - something like The Girl With The Dragon Tattoo lost its somewhat unwieldy original Swedish title (Män som hatar kvinnor, "Men Who Hate Women") but otherwise remained defiantly Scandinavian.
Now, I agree that nothing in FFVI specifically is all that bad (the translation has plenty of other issues though), and I agree that some people get unnecessarily bent out of shape about it; changing "pubs" to "cafes", or covering up nude statues or whatever is stupid but doesn't fundamentally change the game. But it's still stupid, and disrespectful to the original work.