No, Cage isn't being punished for the crime against moviegoers that was Ghost Rider. According to The Hollywood Reporter, he's in talks to star in Scared Straight, a "prison thriller" about "a troubled youth who's sent to prison off the Scared Straight crime-prevention program, which imprisons delinquent teens for a short period in the hopes of deterring them from a life of crime. While the teen is there, a riot breaks out and the prisoners take him hostage."
Cage will be playing a "lifer" who helps bust the teen (who I can only assume will be played by Shia LaBeouf) out of prison. Halloween helmer John Carpenter is in talks to direct.