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Datasea Inc. (DTSS): material weakness open at least 2,128 days

By Russell Tomoum, Ctrl Worx™. Built from its own SEC filings. How the Clock works.

Datasea Inc. reported ineffective internal control over financial reporting because of a material weakness in 5 filings since Sep 28, 2021. It stated one or more material weaknesses in 14 more SEC filings that gave no conclusion on whether that control is effective. The latest was its 10-K for the period ended Jun 30, 2025.

Checked against SEC EDGAR: Oct 29, 2026 · Entry #11152

Causes the company named

Segregation of duties · 19Accounting expertise and resources · 19Entity-level and governance · 9Financial close and reporting · 8

Inadequate segregation of duties, insufficient GAAP-trained accounting staff, and ineffective internal audit function due to understaffing.

What the latest filing says

and procedures were not effective as of such date because of the material weaknesses identified in our internal control over financial reporting as described below. Management’s Annual Report on Internal Control Over Financial Reporting Our management, including our principal executive officer and principal financial officer, is collectively responsibility for establishing and maintaining adequate internal control over financial reporting for Datasea, and has assessed the effectiveness of our internal control over financial reporting as of June 30, 2025 In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in Internal Control-Integrated Framework. Because of the weaknesses described in the following paragraphs, management believes that, as of June 30, 2025, our internal control over financial reporting was not effective due to the presence of the following weaknesses in internal control over financial reporting which are indicative of many small companies with a small staff: (i) the segregati [...]

From the controls section of the 10-K filed Sep 26, 2025. Read the full filing on SEC EDGAR.

Company response: Datasea Inc. can send a statement or a link to its remediation update to russell@ctrlworx.com. We post it here, unedited and dated.

Filings

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Based on public SEC filings. Causes are grouped into standard categories by Ctrl Worx. The filings are the authority. Ctrl Worx is not affiliated with Datasea Inc. or the SEC. Not investment advice. Why you can rely on the Watch List.