Cars where level into the corner - therefore LH HAS to give the space
He is not allowed to force the other car off the track
Firstly, that isn't the rule, secondly, that isn't the rule, and thirdly, they weren't level. Asides from that you're right.
You have to give space IF you can, he couldn't, you're ignoring the laws of physics, a car going speed X can't magically turn to any degree he wants. Hamilton commited to a corner and a line BEFORE Maldonado tried to jump up the inside, there was no way for Hamilton to turn sharper because a car can't magically turn to avoid some idiot who goes full speed into a gap that isn't there.
Maldonado KNOWS that Hamilton will be in that space before he makes the move and Hamilton at that point had no choice about it. Hamilton jams the wheel to the right as much as possible, back end goes out, he spins, he hits Maldonado(unless he isn't there), Hamilton jams on the brakes, the wheels lock, he goes straight on he hits Maldonado(unless he isn't there). Maldonado brakes late trying to get past Hamilton AFTER Hamilton has made his move started to slow and commited to going around the corner. Maldonado had a choice to wait for a better overtaking move, try and make a move in a gap that isn't there, or to smash into Hamilton, there was one right choice and he didn't make it.
He didn't run him off the road, by that idea anyone can brake late into any corner, go wide and insist the car infront following a normal line should have simply turned tighter to leave room. You can't leave room nor do you have to leave room for a car that isn't or shouldn't be there, nor is there any rule that suggests you can't go around the corner as normal incase someone decides to brake late and force his way into the gap. You leave room WHEN the car is there not incase a car might be there.
EDIT:- 20 second penalty for smashing the third place driver out of the race, complete freaking joke. ignoring everything else, who it is, the places and where he finished. He rejoined the track in a decent speed corner, in the middle of the corner, its insanely dangerous people coming off the straight would have had to take avoiding action as he was going slowly by that point, managed to lose control on the kerb and would have been slow coming out of the corner. There is a run off there because its completely unsafe to rejoin the track in that situation. Should have been a black flag, nothing less and because of that and previous incidents of smacking cars when completely unsafe and not necessary, a hefty fine and a grid penalty at the next race.