are there any penalties if I report but there is no actual crime?
So for this, we have taken some measures. One is the user has to pay fees on every information he submits.
Second, he won't get 100% reward on very first information. His first information will be rewardless. Moreover he will get very small fraction of reward on second part of the information. Moreover he has to pay incremental fees with every next level of information. I hope this answers your question.
In some countries if you report about the crime and you misinform local authorities about it, you may end up paying a fee for telling a lie. As I understood the concept of working of your platfrom correctly, you will report about the crime further to, let's say a police station. is that right?