Yeah, I would have been very surprised had that changed- I don't think that it's mechanically possible to have crit changes apply to handwraps right now.
As to vanguard, was yours a pure 20 vanguard? When I was using it, 20 pally vanguard (with shield capstone, lots of points in KOTC) was most definitely high-dps, and certainly higher than unarmed. Better stuns too: the capstone procs far more often than the 5% it claims. Others who've done the hobgoblin test with that setup claim around 4k dps, which feels close to what I remember. Vanguard is really quite strong, the problem is that pure 20 pally is really the only way to do it: everything else, including splashing or god help you going fighter, dilutes it dramatically. Oh and if you try and play it like a THF toon, it doesn't perform well: stay awaying from cleaves and auto-attack with use of the shield clickies is the way to go (which is boring as hell, but **** effective). But that's a different topic!