I would use whichever hub matched my axles. Dexter hubs on Dexter axles. I have seen in the past that when the lugs were tightened with brakes applied, the drum was pressed out slightly. When the brakes were released, the lugs were no longer tight. As the wheel becomes loose, the threads are worn away. When enough of the lug nuts come off, the remaining studs break from being weakened by heat and flex of the wheel.
Sounds to me like for whatever reason, the lugs came loose. Usually damage from impact gun will result in cross thread when removing lug nut.