No need. I didn't see anything wrong with what the school did.

One student lost a binder, other people saw another kid walked away with two similar binders so they inquired about it. No one acused anyone of anything. This other kid didn't have it and that was the end of it. Both kids were chinese so there can't be any racial factors involved. Even if they were from different race, it shouldn't matter. What do you want the school to do, disregard the information they heard from other students? What if you are the one who lost your binder? Don't you want school to at least help to find it?

I don't think parents need to go after the school for such petty things. It will probably embarass the kid even more. Please let it go! Think about your kid's future in the school before you do anything stupid, like ask for compensation, etc. It is rediculous.
I am shocked how sensitive some people are here. It is not good for our kids.