What To Do With Lawbreakers?

Here we have the problem of sentencing. Sentences of restuition and fines favor the rich. Sentences of punishment and deprivation don't create positive change. Sentences of rehabilitation are difficult to implement, are arguably unfair and inconsistent and many see them as a way for the criminal to get over on the law abiding.

The answer to that question will determine how we address issues like the rights of criminals to the means of Self-defense, voting, organizational power (business ownership, church/non-profit membership) and other things that may not be human rights, but are the rights of the free. After a person has served their sentence, are they forever a second-class citizen? If they have to petition for their rights back, who decides? Is their decision strictly rules based or does judgement play a part? Who's judgement do we trust?

The guidance to all these questions will come down to "Are people basically good or basically bad?" I like to think people are basically good and that it might be me in chains before the court, so how might I want to be treated? It might be me judged guilty, what would be the reasonable sentence? It might be me blinking in the sun after years incarcerated, how would I want to be treated?
Or what do you think we should do with the convicted? Where should the law draw the line between jail and a fine? What should society kill for, and how should we police ourselves? Can a debt to society ever be paid, or should a conviction be a scarlet letter, forever branding you and limiting your life?