As noted above you can be arrested and imprisoned. So there is a system in place around that.

But most notable there is that newspaper thing they mentioned in the last PFH that will keep track of what you have been doing. It will keep track of the stuff you do and people in the city will be influenced by it, comment on it, etc. At least that is what I remember them saying.

If that is tracked by examining characters or not? I dunno.