I'm trying to understand the ideology and thinking behind saying his money should not be taken. This is what I came up with.

"The world consists of Good and Bad people. Everything that bad people do is intrinsically bad, because it was done by a Bad person. Moreover the Bad can rub off on anyone getting too close.

Even an act that is normally Good, such as funding science becomes Bad if done by a Bad person. The scientists becomes tainted. The institute becomes tained. Even the knowledge itself is suspect.

This is why it's important to keep convicts isolated, untouchable pariah even after they have served their time. Their Bad needs to be quarantined."

It's probably a bit unfair but I can't think of anything else.