Did Paterno meet the letter of the law? Perhaps yes.
Did he meet the moral obligations expected of someone of his stature and tenure? The verdict is still out on that, but the facts of the case as known now indicate he did not.
Perhaps yes. He knew that the 2002 report was never filed with child services thus he knew that school officials were knowingly violating state law. He knew that PSU was knowingly harboring a sex offender in his facilities.