in folkstyle when is it o.k. and not o.k. to lock hands

According to the NFHS Wrestling Rules this is incorrect.

2008-2009 NFHS Wrestling Rules
Rule 7-3-3 (page 39)... Interlocking or overlapping the hands, fingers or arms around the opponent’s body (with or without arms included) or both legs by a wrestler in the advantage position, unless the opponent has all the weight supported entirely by the feet or has lifted the opponent off the mat or the opponent has met near-fall criteria, is a technical violation and the penalty point(s) shall be awarded in addition to points earned. (When bringing your opponent to the mat, hands overlapping or interlocking beyond reaction time is a technical violation.) (Photos 101-104, page 81)

2008-2009 NFHS Wrestling Case Book and Manual
Technical Violations
7.3.3 SITUATION (page 48): Defensive Wrestler B stands and is able to turn toward the opponent; at the same time Wrestler A is able to lock around the upper body of B in a bear hug situation. As B struggles to get away, A drops and initiates a double leg takedown with hands locked. As they go to the mat, the following occurs: (a) As soon as they hit the mat, A moves up on B and initiates a pinning situation; or (b) A maintains locked hands around the legs of B and makes no initial attempt to move up. RULING: In (a), this would be a legal maneuver, as Wrestler A is allowed reaction time after coming to the mat in order to release the locked hands. In (b), this would be a technical violation against A for having locked hands around both legs. Anytime the hands are touching beyond reaction time after coming to the mat, it is a technical violation. Emphasis Added

ALSO SEE
Locked Hands Photos (Scroll to page 19)
"94,95 & 96. (7-3-3-) Locked hands around the body is a technical violation by the offensive wrestler when the contestants are on the mat. It is a technical violation either with or without one or both arms. It is not locked hands when the defensive wrestler is supporting all his weight by his feet/legs"

2008-2009 NFHS Wrestling Rules
Rule 7-3-3 (page 39)... Interlocking or overlapping the hands, fingers or arms around the opponent’s body (with or without arms included) or both legs by a wrestler in the advantage position, unless the opponent has all the weight supported entirely by the feet or has lifted the opponent off the mat or the opponent has met near-fall criteria, is a technical violation and the penalty point(s) shall be awarded in addition to points earned. (When bringing your opponent to the mat, hands overlapping or interlocking beyond reaction time is a technical violation.) (Photos 101-104, page 81)

according to this there leaves a grey area. I have asked several officials about the following situations with most saying it is a violation of locking hands.

here is the situation: the bottom wrestler comes to his feet, the top wrestler is still on his kness, behind the bottom wrestler, with his hands locked around the waist. they started from the referees possition.

Is this locking hands violtaion or is this legal.

There is no gray area here. If the defensive wrestler is supported entirely by his feet, it is NOT locked hands regardless of where the offensive wrestler's knees are at. This of course assumes that the hands were not locked prior to the defensive wrestler coming to his feet.

thx for saying. there are many many officials that I have asked that have said it is a violation of locking hands. sicne the top wrestlers is still on the knees. thx again.