I don't think you understand the kind of access fund managers have to the companies they invest in. Surely you do realise that they are not poring over the source code written at the companies they invest in (or their contractors and subcontractors), nor read every email or every entry in every expense account.

Shareholders of VW have already taken a massive hit when the stock tanked. Destroying the company would achieve nothing at all. The efficient and fair course of action is to prosecute the executives who made or authorised illegal decisions while minimising impact on those not involved. Shareholders are not a substitute for a court of law, and rash group punishment has never worked out well.

Shareholders don't have much insight or influence on the day-to-day in a business, so I don't think this would work very well.

I don't think they would have to if anyone involved would face this ultimate payment for their misbehavior. However, I think that it would lead to even better mechanisms to hide the corruption and turn the lobby machine on. It's easy to lobby when a company has to be closed down and many uninvolved people lose their jobs. Which politician would like to face this anger?

Maybe it's better to start the change from the other side. Make people understand and feel what it means if they are being cheated of their tax money.