"Known criminal addresses" isn't an easy nut to crack. False positives prevail and the list is held by institutions readily hostile towards crypto. People who used Tornado Cash themselves, even non-criminals, are marked as criminals because of the way the lists are maintained. The article itself says "30% of the funds were from illicit activity", which leaves 70%. When is the last time a bank enabling criminals like HSBC had it's directors arrested and thrown in jail?

This sets a dangerous precedent.