[Che]

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How would you be punishing him more? You are not punishing the draws. That's not what the raise is for.

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If you call his bet, he sees the next card for no further investment (i.e. for free) since the chips he already bet are sunk cost. The only way to make him 'pay' at this point is to raise.

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If you raise back, say 450 more, he has to call 450 into a pot of 1350, making that call correct.

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The call is (roughly) correct if he gets to see 2 cards for that price. But, if calling only gets him 1 card for a 2:1 price when the odds are 4:1 against him, the call is incorrect unless he is very confident that he can make up the difference via implied odds.

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Am I missing something here?

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Yes, the concept of sunk cost. Said another way - understanding that calling a bet gives a draw infinite odds to catch up with you. This is a very important concept so think about it a while and make sure you get it.

(Not trying to be condescending in any way. Merely trying to point out that this is important and needs to be understood.)

Later,
Che