If prospective investors agree with you that fraud occurred then they will never re-enter this market because there can be no guarantee that it won't happen again. Therefore a recap will never happen due to lack of demand for equity and our shares are mostly worthless.
If prospective investors disagree about the supposed fraud then they will invest anyway and your point is moot.
I don't understand what you're trying to argue. Even if the government cuts a check to shareholders the "fraud" still happened.