Not worse than Sauron, no, but certainly culpable for a lot. For example, they refused to share their knowledge with humans or even with the part-elven Numenoreans Aragorn is descended from - and it was that refusal that got the Numenoreans listening to Sauron in the first place. Of course, the gods are on the elven side, which is even worse, though I fail to see how it absolves the elves.