Video: Hester fakes punt return while Knox fields it 30 yards away - Shutdown Corner - NFLBlog - Yahoo! Sports
If you look just under and to the left of the FoxBox the moment the kick occurs, you can see the hold. It was clearly not during the return. Also, the flag gets nowhere near the foul and is thrown by the official at the GL pylon.
The hold was there, but I'm having some difficulty with how it was enforced, as well.