I did not read all that haha BUT I will say that ALL of us hire bad people. It's a part of learning. I'd slow down your hiring to make sure they have to jump through a lot of hoops to be on the team. Then pay well - make it something an A player would want to join. Then fire quickly.
I kind of look at it like dating in a way. Come up with your list of must haves and must not haves. As soon as the person displays must not haves, get rid of them that day. Don't give another chance. As you are finding out a bad employee will cost you a lot more.
Don't be frustrated though, it's not a perfect science and most of us still hire bad people to this day. It's a part of the process.
