Is the Basque flag, unlike the Welsh one, prohibited in London 2012?

Officials at the Olympic venues in London 2012 are urging spectators to take away Basque or Breton flags, at least. They even confront the parents of athletes competing. It happened to a Breton man in a football match (fr), and to the parents of Maialen Chourraut, a Basque bronze-medal winner yesterday in canoe slalom (ca, screenshot from TV below). BTW, Chourraut lives in Catalonia and I don't know if incidents have happened with the Catalan flag.

Well, this is outrageous. I plan to go to London next week, it's several months that I have tickets for me and my children and we intend to support Maider Unda, a Basque freestyle female wrestler, with our own flag, and with due respect, of course, to all other participants.

I have read the leaflet provided by the authorities: Prohibited and restricted items (see screenshot below as well). First, flags are not prohibited. Then, some flags are restricted, but with broad terms:

Flags of countries not participating in the Games (this excludes the flags of nations under the umbrella of a participating country such as England, Scotland and Wales)

Well, if Scotland or England are nations under the umbrella of a participating country, I think we may understand that Brittany or the Basque Country are under the umbrella of these countries: France & Spain. The Basque Country has a regional parliament and government just as Wales or Scotland have, and it's flag is fully official in Spain. So, therefore, under which authority do those officials in the olympic venues take it away? Do they act similarly with the English or Welsh flags? I'm sure not.

On the other hand, it would be nice is someone explains the difference between prohibited and restricted.

We're carrying our flag to London. We don't want to confront anyone, no need to argue, no intention make a political symbol like the Mexico'68 Black Power stance. I travel with my children, we are going to celebrate the Games, and I cannot afford to be handcuffed or harassed or expelled in front of them. But I do want to salute our wrestler, and the rest of participants as well, with our Basque flag. And I believe that the rules the organizers have written are broad enough to allow that.