This is an engine based on Source engine, we know how easy it is to hack this engine. There are many clear videos of hackers at this point so maybe you've changed your view since making this post a few weeks ago.
But yes if there as an in-game report system, people shouldn't be auto-banned for lots of reports in a short period, what we need is a CS:GO style "Overwatch" system where frequently reported players get reviewed by known good players who know what to look for.
The other thing this game needs is a phone-number linked "Prime" style matchmaking like CSGO has as well, and region restriction.
The phone number linked matchmaking shouldn't be hard for them to implement at least, I really hope they do.