Does this still happen in some armies in the world?

[Septentrionalis]

If you mean punishing a whole platoon or company by making them perform exercises such as push-ups or other type of exercises until getting them tired, that's normal in practically all armies in the world. But if you mean something else such as leaving everyone without the weekend pass, I don't know if that's common in many armies.

That at least is very drastic a measure and probably very unusual. Something of the like happened where I served only once and it was in a very exclusive and tough voluntary course in which training was frequently designed in a way to attempt to break our spirit.

Our platoon had allegedly misplaced a piece of equipment during a field exercise. When we got back to the base from the exercise on a Friday afternoon, our platoon was informed that we do not need to prepare ourselves for our weekend leave because we are going back for the weekend to look for that equipment in the training area. So while others got cleaned up and left for their weekend fun, we had to get to a rendez-vous point from where trucks from another base were coming to pick us up and drive us back to the training area.

After a whole lot of waiting, finally a single truck came over, making us baffled how we would all fit in it. Out of the truck comes an officer holding that piece of equipment in his hand, saying that he found it. He gave us a long speech about resposibility and told us that we can go on our leave, but by the time we hiked back to the base and got ourselves cleaned up, it was quite late so we missed a lot time.

Not quite the same as actually canceling the leave, but still. It would have been a good learning experience if we weren't all convinced that the officer had taken that piece of equipment himself. We knew where it was and couldn't find it where we had left it briefly before we had to dismantle our positions and get in transit. It left us just sour, even though we were a select crew of volunteers who generally believed in the justification of discipline and punishments.