It's funny how death sentence exists in some countries, but I've never heard of a total property nullification sentence anywhere. The tools are right there, it would just be plain old bankruptcy (with all its known loopholes and weaknesses) preceded by an "infinite fine". Historical societies had banishment which I suppose was similar in effect, "you may live but that's it".

But "we take every amount of money of which we can prove beyond doubt that it was illegitimately acquired" is like trying to deal with theft by forcing the thief to give back the goods when caught and nothing more.