Ending of 7th Month Festival (in folks culture, it's called the Qi Yue Wei or closing of Hade Gate), during this day, all folks will tend to send off the "Good Brothers & Sisters" by offering the last round of offerings (joss-papers, incenses, food, clothing, etc).

So does all "Souls" (in folks belief context) report back to the Hade?

Usually not "ALL" will "returned back" to Hade.

Only those "Law-followers" or "Good Souls" will returned back for reporting, whereas those mischievous one or those who eagerly wanting to go for a Reborn will stayed or deliberately hide-up at certain "dark corners".

So wont "they" got caught?

Definitely the Hade Constables will need to go around the Whole Mortal World to do inspection after the so-called Hade Gate Closed.

For those being caught during this period, usually the Souls will get sever punishments after returning or immediately, the souls will be "destroyed".

Due to this reason, to certain Religious Group, they wont performed Rituals/Ceremonies on the 1st few days of the 8th Month, trying to avoid any "left-over Good Brothers and Sisters" come to disturb or look for a refuge place.

In-order to avoid coming across any of such "Left-over", to certain group of people, they will try not to go into/near any "Dark Corners" on the 1st few days of the 8th Month.

'fusheng'