I agree with that.
I thought the process was relatively clear.
VAR should say "did you see the deliberate handball outside the area"
ref team presumably say "no"
VAR then says "then, this is a clear and obvious error, and could have denied a GSO, recommend monitor review to assess if it was GSO"
That means Atwell has to make the decision - red card or nothing.
The explanation given (quite quickly, no more than about 5 minutes) was this "not an obvious GSO, but a possible GSO". There isn't such a division in the VAR rules - it's GSO or not.
If VAR had said "no GSO" we'd disagree, but it would be clear. Instead they fudged it with something made-up, and that's the damning part.
As Lineker said, it was a decision aimed at keeping it 11 vs 11, with the added benefit of keeping Atwell away from the decision.