I don't think Binance is legally allowed to divulge personal information of a trader to a fellow trader. But they will definitely do so to legal authorities. I guess it will have to pass through a request coming from a legal authority.
I believe the appropriate action would be taken, i.e reporting it to the police. However, I'm not familiar what jurisdiction this would take place. Its almost certain, that Binance wouldn't be able to divulge any information to any of its users to another user of the platform, even if there's a legitimate claim for fraud or theft. It would need to be handled by the the appropriate authorities. I believe, this would be passed onto the police department that has jurisdiction where the company is residing, and may potentially be handed over the the infringing users jurisdiction. Although, I might be wrong there. It becomes tricky with exchanges which don't have any physical residence, maybe possibly where the owner of the company resides then.
Exchanges are not going to report it to the police until the trader itself take legal actions against the fraudsters and in case of any assistance need for the legal actions they might help but most of the time they are not going to hear the single users words.