Everything having gone wrong, impounded the vessel (7)

I believe the answer is:
galleon
'vessel' is the definition.
(type of ship)
'everything having gone wrong impounded' is the wordplay.
I cannot quite understand how this works, but
'everything' could be 'all' (all things) and 'all' is found within the answer.
an anagram of 'gone' is 'geon' which is within the remaining letters.
No letters remain.
This may be the basis of the clue (or it may be nonsense).
'the' is the link.
Can you help me to learn more?
(Other definitions for galleon that I've seen before include "Large old sailing vessel" , "All gone (anag.)" , "One might sink" , "Spanish treasure ship" , "Large Spanish sailing ship of yore" .)
