In the book "My True Love Gave To Me: Twelve Holiday Stories" by Stephanie Perkins, there is a theme of balancing discipline and kindness during the holiday season. The quote "He punished the naughty and rewarded the nice" highlights this approach, emphasizing that good behavior is recognized and rewarded, while bad behavior is dealt with appropriately.
The mentioning of the red attire alludes to Santa Claus, a figure associated with generosity and judgment. The playful scramble of the letters in S-A-N-T-A to form S-A-T-A-N reinforces the idea of contrasting good and evil, emphasizing the story's exploration of holiday morals and the complexities behind the festive cheer.