Spend a day in a court that deals with CHINS cases (or the lobby, since the proceedings may not be open to the public) and you will know that comment to be erroneous.
For every 1 case in Indiana like in the OP (which, I will accept for the purposes of your argument, although I have never seen one), there are hundreds of cases (maybe thousands) where the system worked in a way that we would all agree reached the "right" outcome. Well, I think we would agree. This is INGO, so, maybe not.
The formulation is not supposed to be reflective of the total caseload ratio. It isn't saying that 10% of CHINs cases are baseless. It is an expression of the value of innocence; the burden of proof.
The current system will quickly break apart an innocent family. I've seen it myself. This is the preferred outcome, rather than developing a preponderance of evidence before snatching children.