I know that you can report something to the Scratch team, but do they look at the project being reported, or do they just ban the projects depending on the number of reports? JWhandle got 4 projects taken down not because they broke the community guidelines, but because a lot of people reported it for no reason. That's like banning the FPC studio because a lot of people reported it.

when I create a post :: events hat
ask [A question] and wait
When I receive [a response v]
set [Happy? v] to [Yes] 

I think it's that when something gets enough reports, the ST will look at it and most likely ban it.

Generally we look at the project when it gets reported.

However, sometimes projects get automatically taken down when enough people report them. This is to prevent inappropriate projects from being on the website for longer than they need to be. Unfortunately, this does mean there can be a lot of false positives. When a project gets automatically unshared, we do look at it and see whether it needs to remain unshared or not.

Comments get automatically hidden if they get a lot of reports (so no more people see it in case it's inappropriate content) and I suppose it's the same for projects, but the ST can “undelete” the comment if the reports are unjustified. People can get alerted or eventually banned for abusing the report feature. See Report in the Scratch Wiki.