Explaination..

Referee ruled it an illegal hold. Opponent gets 2 minutes recovery time. If he chooses not to continue in the match then he wins by injury default, its a simple as that. The real question is, did the kid's coach tell him not to continue knowing he was over matched? We will never know. It's a terrible thing to happen at this type of event, but all the more reason to make sure you don't execute moves which by their nature are potentially dangerous. Chicken wings, hammerlocks, etc. etc.