I agree with the idea that the only way to deal with the problem of evil is to either judge those who commit evil acts, or to limit their ability to commit evil acts. A secular society can only do these things to an imperfect degree.
An all-seeing, all-knowing, all-powerful deity, on the other hand, could easily have created a human society populated by intelligent beings who could not commit evil acts, or even entertain evil thoughts. What is the downside of this scenario?
The only possible outcome of allowing evil is that people suffer, both in the moment and for an eternity afterwards. What is the benefit of allowing people to think evil thoughts and do evil things?