Hmmm I see two still shots that show the Croatian had a hand on the Brazilian; that in itself is not a foul. Fred milked a penalty from minimal contact and that is a blight on the game.
You can keep asserting this any number of times you like and it doesn't make you right. Read the write up on the laws of the game that I posted. I am a football referee, actually had to pass an exam on the rules, and make my living interpreting real laws of the land, am not a Brazilian, and I back the referee 100%. Again, I emphasise the obvious: you may have your opinions on the game and how it should be played but you're not free to make up the laws of the game as it pleases you.
Which part of the official laws of the game permit a player to deliberately lay their hand on the opposition in attack and actually holding on?
Well since you bought it up I am a football referee as well, have also coached and played. I also make my living interpreting the laws of the land. As I noted earlier my view is that there was no holding and Fred milked the contact. I'd never have given it. Time to agree to disagree.
I am also out of the TAB comp as I had a draw for the Spain v Dutch game. What a match though! Dare I say it, but the Spanish penalty wasn't a penalty either :-)