Final answer:
A degradation ceremony is where inmates in a total institution lose their previous identities, and this was evident in historical penal servitude practices, as offenders lost rights and property aiming for moral redemption.
Step-by-step explanation:
The situation described where an offender was placed in penal servitude and lost all rights and property can be associated with a degradation ceremony. This term refers to the process by which individuals in a total institution, such as a prison, lose aspects of their old identities and are given new ones. In history, those sentenced to penal servitude often faced severe punishment wherein they were stripped of their social standings and possessions, reflecting the society's approach to criminal justice and transformation. The goal was to reform and morally redeem those considered criminals and debtors through hard work and isolation from social vices. However, the implementation of such punishments often led to a loss of social bonds and a disconnection from the community, with marginalized individuals sometimes falling into extreme poverty.