Not necessarily. The LLC will pay out as much as it can and then filler for bankruptcy. The individuals will likely get off scott free since they've not actually been convicted of any wrongdoing.

I imagine that developing Yuzu and Citra would be a huge item on their CVs, too. Honestly, if Nintendo were smart, they would have tried to buy the project somehow and hire the developers to work on backwards compatibility for whatever the console that comes after the Switch 2 is..