A member rank is not enough to understand everything. Or better to say if they did not spend much time on the forum, probably they don't understand it well. There is a thread from Loyce with the title "Report good posts to merit sources". That user found a report button under the posts so he used it  I don't see anything wrong here. I would do the same thing if I were him 

I mean, this could happen due to misunderstanding. Don't get me wrong BTW, I am trying to understand what else he could think of when he decided to use report to moderator button.