The game apparently follows a man with a chainsaw for an arm who is caught up in a twisted game show. Over the top violence, an obnoxious TV announcer and some level of hilarity will ensue. The plot seems reminiscent of the first Manhunt game and the visual style and humor seems to be a mix of No More Heroes and Sin City (probably more along the lines of the film, Renaissance, but that's barely worth mentioning) and I believe one of the writers of Killer7 is working on the plot of the game too.
The game is due out in the first quarter of '09 (around the same time No More Heroes came out) and will be out on the Wii. Here's hoping it will deliver better chainsaw thrills than the port of the already underwhelming Scarface game...