Yeah, that’s stretching it a little (probably based off the Cracked article from a while back). Ace of Base was named after Ace of Spades (a song by Motorhead) as a reference/homage, anything beyond that is purely speculation as the band have categorically denied it.
And yes, Ulf was indeed in a band that wrote some pretty heinous stuff but he has both repeatedly apologised for that, made clear he no longer believes in any of this, and made explicitly clear that Ace of Base never shared these ideas.