Well immediately after the Surivor Series PPV, Owen got a push and started to feud with Michaels and Helmsley. He took out Michaels in the main event of the DX ppv against Ken Shamrock. I think that one of the potential Wrestlemania 14 plans was to use Shawn Michaels vs Owen Hart as the main event, but because of Shawn's injury and Steve Austins undeniable popularity they went with Austin/Michaels and HHH/Owen.
During his face run after the screwjob he was getting mega over, and was a big deal, but it all seemed to die off after hesitating to put him in the biggest programs.
From there he was a tag team with Jeff Jarrett and won the tag team titles, then as the Blue Blazer was in an IC title program.
So I really don't consider it a depush or punishment at all. If anything I think Vince had of liked him more because he didn't leave for WCW with Bret.
Also he was going to be pushed as "The Game", but he died and Triple H took the title.
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