the counterargument is that the invention of the corporation (along with relatively lenient bankruptcy laws) is what allowed western nations, particularly the US, to dominate the world economy because the corporate veil allowed corporations to take bigger risks in creating new products and industries.
but yes, the corporate veil is too thick, as shown by poor societal outcomes like this one. however, let's not throw out the baby with the bath water--we should lower the burden of proof for prosecuting such wrongdoings without completely losing the innovative effects of the corporate form. (we also need political reform so that policy makers can promote prosocial behavior, like proactively internalizing externalities like this rather than trying to clean it up after the fact).
but yes, the corporate veil is too thick, as shown by poor societal outcomes like this one. however, let's not throw out the baby with the bath water--we should lower the burden of proof for prosecuting such wrongdoings without completely losing the innovative effects of the corporate form. (we also need political reform so that policy makers can promote prosocial behavior, like proactively internalizing externalities like this rather than trying to clean it up after the fact).