It is as far as I've seen the 'greatest' fuckup in UK development history, 12.something billion down the drain, massive overspending, they basically made every mistake you could make short of setting the office on fire.
This would involve either:
(1) Clear and unambiguous definition of "mismanagement" involving distant-from-the-specific-project procedural mandates, which would reduce "mismanagement" by the definition applied but increase (and mandate) what would be functionally mismanagement for specific real projects (lots of government regulation designed to prevent mismanagement all around the world, while usually not specifically felony criminal rules, works this way now), or
(2) Being so ambiguous and vague so as to provide a basis for arbitrary prosecution, such that it would make sure no one wanted to touch management of a government project at all (at least -- assuming this was the US or one with similar fundamental rules as to what can be an enforceable criminal law -- until it was inevitably ruled unenforceable as impermissibly vague.)
Much of that waste is a product of the "higher level of control" adopted, in law and policy governing government IT work, in response to previous failures, which has mandated additional bureaucratic process, and causes more and more decisions to be made farther and farther from the people with either the specific business knowledge or the specific technical knowledge of the project being executed as more layers of "higher levels of control" are implemented.
I am not really sanguine about the prospects of more of the approach that has made things worse suddenly making things better instead.
They've been rarely used until more recently, when it's been a favorite for prosecuting police officers and police employees for egregious behavior resulting in deaths and injuries (where traditional charges such as manslaughter have failed to convince juries who are always reluctant to convict). The other favorite use is to prosecute civil servants for speaking to the media (aka. leaking).
However, no sign of it being used to deal with mighty screwups on government IT. I do like your thinking on this.