Im not going to type up a huge paragraph on what I think... because no one bothers to read it... rather heres a simple idea...
Good idea, instead of as Nikodemus brought out 'the guards surround you and do nothing...' they should attack you, my favourite illistration, and perhaps the best, is that of the game Fable
I understand PS wants to be different, but I really think the game Fable did an excelent thing with guards... they beat you up til your HP goes to 0... and then instead of being killed you're sent into a dungon or outside the city...
thats a different subject though, but perhaps this dungon has a way to escape, yet the way is like a puzzle which changes each time it is used... that way unlike DR you can't go through it once and expect to know the way out.
How many of these dungons could there be?... how about a unique dungon seperated from the ps world... in here it is impossible for any other character to find you, you're sorta, 'taken out of the game' until you find your way out of the dungon.
there could be npcs who can be bribed to reveal hints to the exit, etc etc, to help noobies that may fall victum to this.
And depending on how many crimes you've commited, the dungon may become harder, like a maze, and may contain fewer npcs to help you.