Using a child's social security number to get credit or bank accounts?

trying to figure out how to handle a bad situation . i know someone who fell into a bad situation and was at lowest point in life ... i do not condone criminal activity but was wondering how you think i should handle situation... i know person was abused and homeless at times, and severely depressed had no money and could not find job so felt there was no alternative. what can happen if i choose to report this? can the other parent press charges ? or the minor children? how would they handle this? the numbers were used to get bank account and credit cards? not fair to the kids but i sympathize with parent as well.... whats the least and most that could happen?