You are not trying to be a hero or anything and you obviously don't want to be a coward and most importantly, you want to act responsibly WHILE KNOWING EXACTLY WHO AND WHAT THE HELL YOU ARE DEALING WITH, it's a company with gears and belts and whistles, damn it, ... and now ... with some shitty humans that have been making bad decisions way before they became your colleagues ...
If you are at your limits, your fellow engineers might get there, too ...
Just treat this whole thing like it was a problem that you and your team face all the freaking time, except this time, there is also sabotage (terrible work ethics, show no respect for its employees and triggers all the red flags) ...
Other good employees, including many of those you are currently managing, will likely follow suit over time. And management won't really notice or care when a first-rate team walks and is replaced by a second-rate team. Management will treat them all the same.
That said, I have seen good team leaders move to greener pastures and convince some their better developers, over time, to join the new team. This happens in almost all industries.
Don't let your mental health suffer. If you care more than the decision-makers above you about what you're doing, you can't win. Go somewhere that will let you do your best work.
BTW, when I was in your position, I hesitated a long time before making my move. It got so bad, I thought I didn't even want to work in the tech industry anymore. When I finally did make the move, the difference was night and day. Work was enjoyable again, and I was energized and full of motivation.
In case you're interested, here's a brief account of my situation and job change, from long ago: https://sheprador.com/2022/04/worst-manager-ever/