Firstly without knowing all the circumstances well done to the flight and cabin crew!
On short final (200 ft) all stable then you get an engine problem - my (considerable) experience tells me continue approach and land!
Whilst I think it is important to have SOPS and to follow them I do feel part of my remit as commander is to do whatever I feel is necessary to secure the safety of the a/c and its occupants. There may be (rare) occasions where it is NOT appropriate to follow SOPs! Good pilots have "original thought". But this is NO criticism of this crew who obviously did what they could with the resources available to them given an apparently very unusual situation. Ok it's on my own head as the commander if I do so but my "authority" surely comes from the issuing State and I would rather be on the ground arguing my case with a fully serviceable a/c and all occupants intact than otherwise.
Finally, I wonder if MOL will consider legal action against the airport authorities for recovery of any cost?!