There seems to be two issues here...
1. The complete lack of authenticity/transparency on Dreamworld's behalf. From the footage, it seems like they approached the problem with some trepidation knowing that the news would not be good.
2. The ride manufacturers, as we all know, are internationally based and these standards should affect all installations across the world. Obviously, this is not the case, however those in the video lack respect for park/state/federal safety regulations and policies which are put in place to protect their safety.
Of course I am empathetic to their case and would be disheartened to receive this news and have this experience, however it is the strict adherence to such rules that allow our parks to remain virtually accident-free. It's a very touchy subject, but unfortunately in this case I think Dreamworld were right not in their handling of the issue, but in their dedication to safety.