If somebody is doing wrong, should we take action against him or should we just think about his pravrtti/state in which he is and move ahead?

If the situation demands that action be taken we should take the appropriate action. However, the action should be taken as an obligatory action without any hatred or revenge as the motive. When the mind is free from negative emotions the intellect is free to think clearly and decide what action, if any, needs to be taken. If the mind is agitated the intellect is clouded and invariably you take the wrong action and fail.