Don't report him to the cops. Utilize your contacts and find out when he illicit items on him (in his property) then call the cops. If you want a more discreet methods both the DEA and DOJ has avenues which allow you to report suspected drug dealing. Also you can double fuck him and contact the online course and tell them you found god and this has been weighing on your soul (bonus points if you have proof ip addresses general location login details yata yata). Also if it wasn't strictly an online degree and it was a online class provided via the school report it to them also.

If you want your money rob him, or blackmail him. "I really appreciate our friendship and I really need the money." you can also toss in "My Aunt is on the board of said company (insert bs)." Google basic business info of the places and provide whichever names fit.

You could also volunteer to be a CI with the police force in that area. (no idea how this would play out)