> No one will start a startup knowing they will have their house confiscated and go to prison if it fails.

What does that have to do with anything? We're not discussing a case of VW making bad business decisions and losing money.

If you start a company and break the law and harm people, you should have your house confiscated and/or go to prison. If you can't take this responsibility, just don't start the startup, that's perfect.

You are creating confusion about the subject being discussed in order to defend criminals.