Gunners boss Mikel Arteta was fuming when the Brazilian was shown two yellow cards in the same passage of play, after referee Oliver played an advantage for the first challenge.
Arteta said: "I've never seen anything like it.
"The rules may say it's possible, you have to be very, very willing to do that."
Both fouls, which occurred within seconds of each other, could be argued as bookable offences and Oliver's actions were in line with the rules of the game.
But former PGMOL boss Hackett believes the referee's decision lacked common sense.
"I think this is a very poor piece of officiating," Hackett told talkSPORT.
"The law does support him. The law does allow you to issue to separate yellow cards for two separate incidents, which he's done.
"But that doesn't exonerate him of any responsibility.
"He should get a caution for the first one. Then stop it - because the throw-in, which restarted the play, has not been carried out correctly.
"He's taken the throw-in, as he's taking it, he's pushed. Just come in, order a re-throw, and probably just have a quiet word with Martinelli."
Hackett added: "I used to stand in front of the referees, when I was boss of the PGMOL, and say to them, 'No surprises!'
"This was a surprise. That's why we're talking about it. Oliver should've come in on the first one and stopped it.
"If he thinks that's a yellow card offence, you've got to be very, very careful. In this situation, looking at the play, looking at where it is, where are you going to apply the advantage?
"Possession is not always advantage. In this case, I don't think possession was advantage, he should've stopped it.
"Or, he should've said, 'I'm giving you the yellow, forget about the first one'.
"Let's have a bit of common sense in our officiating!"
However, ex-Chelsea defender Jason Cundy believes the decision was a 'brave' one.
Cundy said: "Martinelli deserved it, they are two yellows. First off, he's tried to stop a throw-in with his hands - that's a yellow card. I don't care if it's a soft or hard yellow, it's a yellow.
"Use your brains! The second one is a blatant foul, he's stopping an attack.
"I think this is brave refereeing. It's the easy decision to book him once. He got it right, Michael Oliver is our best referee.
"If Martinelli doesn't make the second foul and is booked for the original one, no one says anything.
"He tried to stop a Wolves attack twice, both are bookable offences."