I think it's extremely misguided to regard fairness to criminals or defending them as victims as the goal here - the important thing is, as you seem to sort of agree, to deter bad actors and encourage good ones.
Oh, I didn't intend that as a defense of Theranos. I intended that as a justification for punishing Shkreli.
> the important thing is, as you seem to sort of agree, to deter bad actors and encourage good ones.
I think punishment has many societal functions, some of them more rational than others, but all legitimate in their own way.
I would certainly not say that all functions of punishment in society are legitimate. There was just a news article about someone whose exculpatory DNA evidence will not prevent them being executed. Assuming that sort of thing happens occasionally (regardless whether it's true as reported in this case) then it certainly serves a societal purpose to avoid admitting prosecutorial error, but it's not legitimate.