This can happen in any hub on any airline. Yes, they knew your flight was arriving. However the gate you were scheduled for may have had a flight on it that was running late leaving. Could have been mechanical or ATC delay. Now they have to wait for another gate to open up. And if the weather goes bad for a bank of flights that's even worse.
How do you know they gave your seat away? DUH - ALL of the flights to a hub will have connection passengers.
You are said that when you got to the gate, the plane was gone, not that you got there and they wouldn't let you on. Ultimately if it comes down to delaying that flight and holding up 40 or 50 people (regional jet from the sounds of it) for the sake of 2 or 3 people, the plane will go.
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