It already happens a bit.

When the EPA sues, the company has the option to not contest it and pay a fraction of the fine to charity - only problem is all the approved charities are left-wing activist groups. Money in the Treasury already goes to the People so this is extra bad.

It could be set up so the 'victim' can direct the punitive damages to a charity of their choice. If they give it to BLM hey at least it's paying a few salaries and the IRS could audit for egregious mansion-buying. Still better than buying gold teeth and crack cocaine.