It is perfectly possible that someone at a lower level, especially a non-technical person, would believe that. Moderators are not going to be highly paid and skilled people.

It has to get to the attention of higher ups.

The one time I have reported a comment to FB, it was horrible racism (said "do not interbreed with [group x] because they are [evil - not sure of exact wording]" and got a reply saying that it did not violate community standards.