Earlier quoted context omitted.
> As a listed company you would be taking away many peoples jobs and savings who are innocent parties in this. 1. Nationalize part of the company hurting investors. 2. Auction the shares to the market 3. Profit$ This way a "too big to fail" company can continue running its business as usual while punishing the value of the company. That doesn't means that personal responsibilities are forgiven, any one that breaks th…
That is fundamentally not different from a fine, which is ultimately also paid completely by the investors.
Fines can be mitigated by raising prices so that equity-holders shift pain to consumers. Stripping equity on the other hand means that you change who profits from sales.