Oh, if only! No, this system was a result of Frontier doing almost everything [1] the forum experts insist that they should do:Its just a system that vaguely made sense to people during a board meeting just before lunch and thats basically it.
1) They listened to the players saying that the C&P system prior to 3.0 was wrong and needed a rewrite
2) They ran a big focused feedback thread on the ideas they had for people to comment on, included several popular forum ideas in the thread as suggestions, and adjusted them according to the comments
3) They held an extended Beta with the implementation, and fine-tuned the system further as a result of feedback (notoriety being 2 hours per point? the original was 1 hour but players complained it was too lenient)
4) They further adjusted it after it went live to fix issues players reported and close additional loopholes
It didn't go from "not really an improvement" to "actually worse" until Odyssey brought in some actual rational incentives to engage in criminal behaviour, of course.
[1] Could have been worse, I guess. They could have brought back the DDF and let them make suggestions too.