Hosting company can not "give" the domain to anybody. If domain is still pointing to Hosting with NS records, anybody could make an account at Hosting, and add that domain. Now that scammer controls whats visible at Domain, but he is not yet the owner of domain.
Owner is who control and can change NS records. Scammer can change all other records, but not NS. NS is at original domain registrar. Original owner can very easily change the NS and cut the scammer out of everything (& should).
Gitlab used to be like this. You add a domain to Gitlab. You add an A record to your domain registrar or NS Manager. Now your domain shows your Gitlab Page. After few months, you don't want the pages anymore. You delete the project from Gitlab. You ignore to delete the A Record. Scammer adds that domain to his Gitlab, and shows his content at your domain.
Now Gitlab asks you to add a verification TXT record when adding any domain. Scammer's veri record is different. He can't prove that he owns the domain.