Oh yes, let's rely on neverending torture or will saves - clearly the bane of any spellcaster, before we even get to the natural 20s they'll inevitably roll - to solve the problem forever. And you have the gall to ask if I'm being serious?
Also, OotS is a terrible setting - yes, I'm sure you're basing this on *snerk* your considerable experience building worlds of... actually, I can't even finish this sentence.
But can you do it and maintain your alignment? Good (and hell, even neutral) societies imprison (without torture, whatever you weirdly seem to think) because the alternative is disproportionate punishment by executing everyone regardless of crime.
Or perhaps you advocate maiming them instead? Rip their tongues out or cut off their hands to stop them from using verbal and somatic components? To your warped viewpoint, that would be acceptable, right?
Constant torture I've addressed above. "Kept from doing anything" you've yet to demonstrate a tenable way of doing that. "Interrogated" - for what? "Watched" by who?
AMF is a key component of any D&D setting worth the paper it's printed on. It also keeps their friends from teleporting in, knocking our your jail staff easily and busting them out. Or, simply pulling them out of there or sending a disposable summon to pick them up.
You do know that there are crimes besides murder, right? What about a mad mage who uses his powers to commit arson, but only uninhabited buildings? No loss of life, just lots and lots of property damage. Do you string him up, or let him roam free? Obviously neither is acceptable. How about a Beguiler con or second-story man who uses their powers to steal from the city's powerful? A crime certainly, but is execution a worthy punishment? What about a sorcerer or wilder who can't control her powers and is a danger to all around her? Say she hasn't killed anyone yet and needs to be taught control, but you need to keep her in one place long enough to get her the help she needs. Would you torture all of these individuals or render them comatose indefinitely? Would you station NPC guards with all of them, people who are likely quite ill-equipped to do anything should your drugs wear off or they pass their saves? Or would you stick adventurers with all of them, people who are the smallest minority of the population even if you did find folks willing to stick around in prison with each of your captives?
Right back at you, person-with-oddly-fitting-name.