TikTok Couldn’t Ensure Accurate Responses To Government Inquiries, A ByteDance Risk Assessment Said

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A risk assessment at TikTok parent company ByteDance said the company’s fraud prevention systems were so bad they could land execs in jail. It also said the company couldn’t be sure that it was providing accurate responses to government inquiries.

members of ByteDance’s internal audit and risk control team prepared an urgent message for executives: Change your approach to fraud prevention — soon — or you could end up in jail., which was based on a review of TikTok and ByteDance policies, and on approximately 90 interviews — some educational and others investigatory — with TikTok and ByteDance employees from at least 17 different teams.

Because of that lack of formal clarity, the assessment said, “it is frequently difficult or impossible to verify the correctness of information the Company reports to government agencies.” The assessment did not recognize TikTok as a separate business entity from ByteDance, but drew from numerous TikTok-specific sources of information, including documents referencing TikTok operations, TikTok content moderation, the TikTok verification process and TikTok revenue products.

The assessment also identified risks related to TikTok and ByteDance’s primary form of internal communication — a ByteDance messaging app called Lark — noting that Lark messages are stored in China. TikTok and ByteDance did not answer questions about whether the Lark messages of U.S.-based employees, including those in which employees discussed topics like the labeling of Chinese state media entities or the tracking of foreign influence operations, are viewable by ByteDance employees in China.

 

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*acts shocked*

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