The idea about increasing supply and holding most in public account is a very bad idea for two reasons.  First like others stated it would seriously hurt the price.  Second, considering the crypto scene, no one, including me would trust devs to hold on to that amount, the maybe factor would be enough to keep most investors away.

How do people know this guys still has the stolen coins, he was doing it for a days so smart money would be he dumped them right away.  But it is known that those coins were not dumped then I agree steps should be taken to invalidate them... But redoing thsi for a 3rd time will be horrible form a perception point of view.