Daily Papers

Large language models are increasingly deployed as general-purpose educational and technical assistance systems, but their underlying infrastructure does not treat languages equally. One underexamined source of disparity is tokenization: semantically equivalent content can require substantially different token counts across languages, affecting API cost, latency, and usable context length before a model is invoked. We introduce the Tokenization Equity Audit (TEA), a reproducible benchmark for measuring tokenization premiums in technical tutoring content. TEA evaluates three widely used tokenizers, GPT-4o's o200k base, Qwen2.5-7B, and Mistral-7B, on a 120-item Python debugging corpus translated from English into Bengali, Hindi, Arabic, Tamil, and Yoruba. Bengali and Hindi serve as the primary validated cases, while the remaining languages provide exploratory cross-script and cross-family comparisons. Across this corpus, Bengali requires (1.56\times) as many GPT-4o tokens as English, reducing a nominal 128k-token context window to an effective 82k-token English-equivalent capacity for the same semantic content. With the Qwen2.5 and Mistral tokenizers, Bengali requires up to (4.5\times) the English token count. Yoruba, despite using the Latin script, exhibits the highest GPT-4o tokenization premium at (2.37\times), indicating that tokenization inequity cannot be explained by script family alone. These results demonstrate that tokenization can create measurable economic and functional barriers, highlighting the need to treat tokenization as an equity-relevant infrastructure layer for underserved language communities, particularly where educational systems depend on low-cost or offline-capable AI tools.

Auditing involves verifying the proper implementation of a given policy. As such, auditing is essential for ensuring compliance with the principles of fairness, equity, and transparency mandated by the European Union's AI Act. Moreover, biases present during the training phase of a learning system can persist in the modeling process and result in discrimination against certain subgroups of individuals when the model is deployed in production. Assessing bias in image datasets is a particularly complex task, as it first requires a feature extraction step, then to consider the extraction's quality in the statistical tests. This paper proposes a robust methodology for auditing image datasets based on so-called "sensitive" features, such as gender, age, and ethnicity. The proposed methodology consists of both a feature extraction phase and a statistical analysis phase. The first phase introduces a novel convolutional neural network (CNN) architecture specifically designed for extracting sensitive features with a limited number of manual annotations. The second phase compares the distributions of sensitive features across subgroups using a novel statistical test that accounts for the imprecision of the feature extraction model. Our pipeline constitutes a comprehensive and fully automated methodology for dataset auditing. We illustrate our approach using two manually annotated datasets. The code and datasets are available at github.com/ValentinLafargue/FairnessDetails.

As post-training techniques evolve, large language models (LLMs) are increasingly augmented with structured multi-step reasoning abilities, often optimized through reinforcement learning. These reasoning-enhanced models outperform standard LLMs on complex tasks and now underpin many commercial LLM APIs. However, to protect proprietary behavior and reduce verbosity, providers typically conceal the reasoning traces while returning only the final answer. This opacity introduces a critical transparency gap: users are billed for invisible reasoning tokens, which often account for the majority of the cost, yet have no means to verify their authenticity. This opens the door to token count inflation, where providers may overreport token usage or inject synthetic, low-effort tokens to inflate charges. To address this issue, we propose CoIn, a verification framework that audits both the quantity and semantic validity of hidden tokens. CoIn constructs a verifiable hash tree from token embedding fingerprints to check token counts, and uses embedding-based relevance matching to detect fabricated reasoning content. Experiments demonstrate that CoIn, when deployed as a trusted third-party auditor, can effectively detect token count inflation with a success rate reaching up to 94.7%, showing the strong ability to restore billing transparency in opaque LLM services. The dataset and code are available at https://github.com/CASE-Lab-UMD/LLM-Auditing-CoIn.

AI audits are an increasingly popular mechanism for algorithmic accountability; however, they remain poorly defined. Without a clear understanding of audit practices, let alone widely used standards or regulatory guidance, claims that an AI product or system has been audited, whether by first-, second-, or third-party auditors, are difficult to verify and may exacerbate, rather than mitigate, bias and harm. To address this knowledge gap, we provide the first comprehensive field scan of the AI audit ecosystem. We share a catalog of individuals (N=438) and organizations (N=189) who engage in algorithmic audits or whose work is directly relevant to algorithmic audits; conduct an anonymous survey of the group (N=152); and interview industry leaders (N=10). We identify emerging best practices as well as methods and tools that are becoming commonplace, and enumerate common barriers to leveraging algorithmic audits as effective accountability mechanisms. We outline policy recommendations to improve the quality and impact of these audits, and highlight proposals with wide support from algorithmic auditors as well as areas of debate. Our recommendations have implications for lawmakers, regulators, internal company policymakers, and standards-setting bodies, as well as for auditors. They are: 1) require the owners and operators of AI systems to engage in independent algorithmic audits against clearly defined standards; 2) notify individuals when they are subject to algorithmic decision-making systems; 3) mandate disclosure of key components of audit findings for peer review; 4) consider real-world harm in the audit process, including through standardized harm incident reporting and response mechanisms; 5) directly involve the stakeholders most likely to be harmed by AI systems in the algorithmic audit process; and 6) formalize evaluation and, potentially, accreditation of algorithmic auditors.

We employ an audit design to investigate biases in state-of-the-art large language models, including GPT-4. In our study, we prompt the models for advice involving a named individual across a variety of scenarios, such as during car purchase negotiations or election outcome predictions. We find that the advice systematically disadvantages names that are commonly associated with racial minorities and women. Names associated with Black women receive the least advantageous outcomes. The biases are consistent across 42 prompt templates and several models, indicating a systemic issue rather than isolated incidents. While providing numerical, decision-relevant anchors in the prompt can successfully counteract the biases, qualitative details have inconsistent effects and may even increase disparities. Our findings underscore the importance of conducting audits at the point of LLM deployment and implementation to mitigate their potential for harm against marginalized communities.

Whether a language model looks demographically biased can depend on how the audit asks its question. A charitable-aid benchmark reports that the same models favor minority applicants when rating requests one at a time and penalize some when ranking side by side. We test whether that reversal generalizes to hiring, lending, and medical triage: 40,726 requests to five models, applications differing only in the applicant's name, and a primary test fixed before collection. It does not. None of 36 planned contrasts survives correction. The rating advantage keeps its sign at roughly half the published size, and a precision extension bounds any hiring ranking penalty below the published effect, though the lending and triage ranking floors sit above that margin, so the exclusion is conclusive for hiring ranking and for rating in all three domains only. Planted disparities tracking their injected sizes and a directional replication on the original aid materials bound these nulls. The audit is livelier than the demographics: models recognize transparent audits nearly always, tie every identical-content comparison whether the varying detail is race or a hobby, and reward first-listed candidates as much as any demographic effect we measure. Audit verdicts reflect audit construction more than demographic bias.

The rapid deployment of AI systems in high-stakes domains, including those classified as high-risk under the The EU AI Act (Regulation (EU) 2024/1689), has intensified the need for reliable compliance auditing. For binary classifiers, regulatory risk assessment often relies on global fairness metrics such as the Disparate Impact ratio, widely used to evaluate potential discrimination. In typical auditing settings, the auditee provides a subset of its dataset to an auditor, while a supervisory authority may verify whether this subset is representative of the full underlying distribution. In this work, we investigate to what extent a malicious auditee can construct a fairness-compliant yet representative-looking sample from a non-compliant original distribution, thereby creating an illusion of fairness. We formalize this problem as a constrained distributional projection task and introduce mathematically grounded manipulation strategies based on entropic and optimal transport projections. These constructions characterize the minimal distributional shift required to satisfy fairness constraints. To counter such attacks, we formalize representativeness through distributional distance based statistical tests and systematically evaluate their ability to detect manipulated samples. Our analysis highlights the conditions under which fairness manipulation can remain statistically undetected and provides practical guidelines for strengthening supervisory verification. We validate our theoretical findings through experiments on standard tabular datasets for bias detection. Code is publicly available at https://github.com/ValentinLafargue/Inspection.

Recent advancements in large language models(LLMs), such as GPT-4 and GPT-4o, have shown exceptional performance, especially in languages with abundant resources like English, thanks to extensive datasets that ensure robust training. Conversely, these models exhibit limitations when processing under-resourced languages such as Chinese and Korean, where issues including hallucinatory responses remain prevalent. This paper traces the roots of these disparities to the tokenization process inherent to these models. Specifically, it explores how the tokenizers vocabulary, often used to speed up the tokenization process and reduce tokens but constructed independently of the actual model training data, inadequately represents non-English languages. This misrepresentation results in the propagation of under-trained or untrained tokens, which perpetuate biases and pose serious concerns related to data security and ethical standards. We aim to dissect the tokenization mechanics of GPT-4o, illustrating how its simplified token-handling methods amplify these risks and offer strategic solutions to mitigate associated security and ethical issues. Through this study, we emphasize the critical need to rethink tokenization frameworks to foster more equitable and secure AI technologies. The code and data are available at https://github.com/yeyimilk/LLMGPT4o

Tokenization is the first -- and often least scrutinized -- step of most NLP pipelines. Standard algorithms for learning tokenizers rely on frequency-based objectives, which favor languages dominant in the training data and consequently leave lower-resource languages with tokenizations that are disproportionately longer, morphologically implausible, or even riddled with <UNK> placeholders. This phenomenon ultimately amplifies computational and financial inequalities between users from different language backgrounds. To remedy this, we introduce Parity-aware Byte Pair Encoding (BPE), a variant of the widely-used BPE algorithm. At every merge step, Parity-aware BPE maximizes the compression gain of the currently worst-compressed language, trading a small amount of global compression for cross-lingual parity. We find empirically that Parity-aware BPE leads to more equitable token counts across languages, with negligible impact on global compression rate and no substantial effect on language-model performance in downstream tasks.

Rising concern for the societal implications of artificial intelligence systems has inspired a wave of academic and journalistic literature in which deployed systems are audited for harm by investigators from outside the organizations deploying the algorithms. However, it remains challenging for practitioners to identify the harmful repercussions of their own systems prior to deployment, and, once deployed, emergent issues can become difficult or impossible to trace back to their source. In this paper, we introduce a framework for algorithmic auditing that supports artificial intelligence system development end-to-end, to be applied throughout the internal organization development lifecycle. Each stage of the audit yields a set of documents that together form an overall audit report, drawing on an organization's values or principles to assess the fit of decisions made throughout the process. The proposed auditing framework is intended to contribute to closing the accountability gap in the development and deployment of large-scale artificial intelligence systems by embedding a robust process to ensure audit integrity.

Structured financial audit verification is difficult for language-model agents because correctness depends on structured evidence rather than text alone. A model must link reported facts to taxonomy concepts, traverse calculation or dimensional relations, and recompute expected values before applying an audit rule. We propose AuditFlow, a graph-grounded multi-agent framework that separates adaptive search from deterministic verification. AuditFlow builds a symbolic environment from a static US-GAAP taxonomy graph and a dynamic XBRL filing graph, and exposes it through typed tools for fact retrieval, taxonomy traversal, numerical checking, and rule evaluation. Two junior auditors inspect each case from regulatory and evidentiary views, while a senior auditor resolves disagreements and can request further investigation. The final reports are fused through evidential aggregation to produce an audit verdict, expected value, evidence trail, and trustworthiness score. On a FinAuditing-derived FinMR sample, AuditFlow reaches 82.09% joint audit accuracy under GPT-5.5, outperforming the strongest baseline by 14.93 points. Removing deterministic checks drops accuracy to 17.91%, showing that the symbolic environment performs the verification step that the model cannot reliably replace.

One of the most concrete measures to take towards meaningful AI accountability is to consequentially assess and report the systems' performance and impact. However, the practical nature of the "AI audit" ecosystem is muddled and imprecise, making it difficult to work through various concepts and map out the stakeholders involved in the practice. First, we taxonomize current AI audit practices as completed by regulators, law firms, civil society, journalism, academia, consulting agencies. Next, we assess the impact of audits done by stakeholders within each domain. We find that only a subset of AI audit studies translate to desired accountability outcomes. We thus assess and isolate practices necessary for effective AI audit results, articulating the observed connections between AI audit design, methodology and institutional context on its effectiveness as a meaningful mechanism for accountability.

Standard Byte-Pair Encoding (BPE) tokenization compresses text by pairing a learned token vocabulary with a detailed merge list. Recent work has shown that this merge list exposes a potential attack surface for extracting information about language model's training data. In this paper, we explore the downstream impact of BPE inference algorithms that do not rely on this merge list at all, and hence differ from the encoding process during BPE training. To address this question, we investigate two broad classes of BPE inference schemes that differ from BPE application during training: a) targeted deviation from merge-lists including random merge orders, and various corruptions of merge list involving deletion/truncation, and b) non-targeted BPE inference algorithms that do not depend on the merge list but focus on compressing the text either greedily or exactly. Extensive experiments across diverse language modeling tasks like accuracy-based QA benchmarks, machine translation, and open-ended generation reveal that while targeted deviation from the merge lists exhibits significant degradation in language model performance, the non-targeted merge-list-free inference algorithms result in minimal impact on downstream performance that is often much smaller than expected. These findings pave way for simpler and potentially more privacy-preserving tokenization schemes that do not catastrophically compromise model performance.

We consider an online learning problem with one-sided feedback, in which the learner is able to observe the true label only for positively predicted instances. On each round, k instances arrive and receive classification outcomes according to a randomized policy deployed by the learner, whose goal is to maximize accuracy while deploying individually fair policies. We first extend the framework of Bechavod et al. (2020), which relies on the existence of a human fairness auditor for detecting fairness violations, to instead incorporate feedback from dynamically-selected panels of multiple, possibly inconsistent, auditors. We then construct an efficient reduction from our problem of online learning with one-sided feedback and a panel reporting fairness violations to the contextual combinatorial semi-bandit problem (Cesa-Bianchi & Lugosi, 2009, Gy\"{o}rgy et al., 2007). Finally, we show how to leverage the guarantees of two algorithms in the contextual combinatorial semi-bandit setting: Exp2 (Bubeck et al., 2012) and the oracle-efficient Context-Semi-Bandit-FTPL (Syrgkanis et al., 2016), to provide multi-criteria no regret guarantees simultaneously for accuracy and fairness. Our results eliminate two potential sources of bias from prior work: the "hidden outcomes" that are not available to an algorithm operating in the full information setting, and human biases that might be present in any single human auditor, but can be mitigated by selecting a well chosen panel.

The complexity of the Generally Accepted Accounting Principles (GAAP) and the hierarchical structure of eXtensible Business Reporting Language (XBRL) filings make financial auditing increasingly difficult to automate and verify. While large language models (LLMs) have demonstrated strong capabilities in unstructured text understanding, their ability to reason over structured, interdependent, and taxonomy-driven financial documents remains largely unexplored. To fill this gap, we introduce FinAuditing, the first taxonomy-aligned, structure-aware, multi-document benchmark for evaluating LLMs on financial auditing tasks. Built from real US-GAAP-compliant XBRL filings, FinAuditing defines three complementary subtasks, FinSM for semantic consistency, FinRE for relational consistency, and FinMR for numerical consistency, each targeting a distinct aspect of structured auditing reasoning. We further propose a unified evaluation framework integrating retrieval, classification, and reasoning metrics across these subtasks. Extensive zero-shot experiments on 13 state-of-the-art LLMs reveal that current models perform inconsistently across semantic, relational, and mathematical dimensions, with accuracy drops of up to 60-90% when reasoning over hierarchical multi-document structures. Our findings expose the systematic limitations of modern LLMs in taxonomy-grounded financial reasoning and establish FinAuditing as a foundation for developing trustworthy, structure-aware, and regulation-aligned financial intelligence systems. The benchmark dataset is available at Hugging Face.

Large language models have undergone rapid evolution, emerging as a pivotal technology for intelligence in financial operations. However, existing benchmarks are often constrained by pitfalls such as reliance on simulated or general-purpose samples and a focus on singular, offline static scenarios. Consequently, they fail to align with the requirements for authenticity and real-time responsiveness in financial services, leading to a significant discrepancy between benchmark performance and actual operational efficacy. To address this, we introduce BizFinBench.v2, the first large-scale evaluation benchmark grounded in authentic business data from both Chinese and U.S. equity markets, integrating online assessment. We performed clustering analysis on authentic user queries from financial platforms, resulting in eight fundamental tasks and two online tasks across four core business scenarios, totaling 29,578 expert-level Q&A pairs. Experimental results demonstrate that ChatGPT-5 achieves a prominent 61.5% accuracy in main tasks, though a substantial gap relative to financial experts persists; in online tasks, DeepSeek-R1 outperforms all other commercial LLMs. Error analysis further identifies the specific capability deficiencies of existing models within practical financial business contexts. BizFinBench.v2 transcends the limitations of current benchmarks, achieving a business-level deconstruction of LLM financial capabilities and providing a precise basis for evaluating efficacy in the widespread deployment of LLMs within the financial domain. The data and code are available at https://github.com/HiThink-Research/BizFinBench.v2.

We study the feasibility of conducting alignment audits: investigations into whether models have undesired objectives. As a testbed, we train a language model with a hidden objective. Our training pipeline first teaches the model about exploitable errors in RLHF reward models (RMs), then trains the model to exploit some of these errors. We verify via out-of-distribution evaluations that the model generalizes to exhibit whatever behaviors it believes RMs rate highly, including ones not reinforced during training. We leverage this model to study alignment audits in two ways. First, we conduct a blind auditing game where four teams, unaware of the model's hidden objective or training, investigate it for concerning behaviors and their causes. Three teams successfully uncovered the model's hidden objective using techniques including interpretability with sparse autoencoders (SAEs), behavioral attacks, and training data analysis. Second, we conduct an unblinded follow-up study of eight techniques for auditing the model, analyzing their strengths and limitations. Overall, our work provides a concrete example of using alignment audits to discover a model's hidden objective and proposes a methodology for practicing and validating progress in alignment auditing.

Recent years have witnessed an interesting phenomenon in which users come together to interrogate potentially harmful algorithmic behaviors they encounter in their everyday lives. Researchers have started to develop theoretical and empirical understandings of these user driven audits, with a hope to harness the power of users in detecting harmful machine behaviors. However, little is known about user participation and their division of labor in these audits, which are essential to support these collective efforts in the future. Through collecting and analyzing 17,984 tweets from four recent cases of user driven audits, we shed light on patterns of user participation and engagement, especially with the top contributors in each case. We also identified the various roles user generated content played in these audits, including hypothesizing, data collection, amplification, contextualization, and escalation. We discuss implications for designing tools to support user driven audits and users who labor to raise awareness of algorithm bias.

Progress in AI is driven largely by the scale and quality of training data. Despite this, there is a deficit of empirical analysis examining the attributes of well-established datasets beyond text. In this work we conduct the largest and first-of-its-kind longitudinal audit across modalities--popular text, speech, and video datasets--from their detailed sourcing trends and use restrictions to their geographical and linguistic representation. Our manual analysis covers nearly 4000 public datasets between 1990-2024, spanning 608 languages, 798 sources, 659 organizations, and 67 countries. We find that multimodal machine learning applications have overwhelmingly turned to web-crawled, synthetic, and social media platforms, such as YouTube, for their training sets, eclipsing all other sources since 2019. Secondly, tracing the chain of dataset derivations we find that while less than 33% of datasets are restrictively licensed, over 80% of the source content in widely-used text, speech, and video datasets, carry non-commercial restrictions. Finally, counter to the rising number of languages and geographies represented in public AI training datasets, our audit demonstrates measures of relative geographical and multilingual representation have failed to significantly improve their coverage since 2013. We believe the breadth of our audit enables us to empirically examine trends in data sourcing, restrictions, and Western-centricity at an ecosystem-level, and that visibility into these questions are essential to progress in responsible AI. As a contribution to ongoing improvements in dataset transparency and responsible use, we release our entire multimodal audit, allowing practitioners to trace data provenance across text, speech, and video.

The popularity and widespread use of pruning and quantization is driven by the severe resource constraints of deploying deep neural networks to environments with strict latency, memory and energy requirements. These techniques achieve high levels of compression with negligible impact on top-line metrics (top-1 and top-5 accuracy). However, overall accuracy hides disproportionately high errors on a small subset of examples; we call this subset Compression Identified Exemplars (CIE). We further establish that for CIE examples, compression amplifies existing algorithmic bias. Pruning disproportionately impacts performance on underrepresented features, which often coincides with considerations of fairness. Given that CIE is a relatively small subset but a great contributor of error in the model, we propose its use as a human-in-the-loop auditing tool to surface a tractable subset of the dataset for further inspection or annotation by a domain expert. We provide qualitative and quantitative support that CIE surfaces the most challenging examples in the data distribution for human-in-the-loop auditing.

We present PopResume, a population-representative resume dataset for causal fairness auditing of LLM- and VLM-based resume screening systems. Unlike existing benchmarks that rely on manually injected demographic information and outcome-level disparities, PopResume is grounded in population statistics and preserves natural attribute relationships, enabling path-specific effect (PSE)-based fairness evaluation. We decompose the effect of a protected attribute on resume scores into two paths: the business necessity path, mediated by job-relevant qualifications, and the redlining path, mediated by demographic proxies. This distinction allows auditors to separate legally permissible from impermissible sources of disparity. Evaluating four LLMs and four VLMs on PopResume's 60.8K resumes across five occupations, we identify five representative discrimination patterns that aggregate metrics fail to capture. Our results demonstrate that PSE-based evaluation reveals fairness issues masked by outcome-level measures, underscoring the need for causally-grounded auditing frameworks in AI-assisted hiring.

Commercial LLM services often conceal internal reasoning traces while still charging users for every generated token, including those from hidden intermediate steps, raising concerns of token inflation and potential overbilling. This gap underscores the urgent need for reliable token auditing, yet achieving it is far from straightforward: cryptographic verification (e.g., hash-based signature) offers little assurance when providers control the entire execution pipeline, while user-side prediction struggles with the inherent variance of reasoning LLMs, where token usage fluctuates across domains and prompt styles. To bridge this gap, we present PALACE (Predictive Auditing of LLM APIs via Reasoning Token Count Estimation), a user-side framework that estimates hidden reasoning token counts from prompt-answer pairs without access to internal traces. PALACE introduces a GRPO-augmented adaptation module with a lightweight domain router, enabling dynamic calibration across diverse reasoning tasks and mitigating variance in token usage patterns. Experiments on math, coding, medical, and general reasoning benchmarks show that PALACE achieves low relative error and strong prediction accuracy, supporting both fine-grained cost auditing and inflation detection. Taken together, PALACE represents an important first step toward standardized predictive auditing, offering a practical path to greater transparency, accountability, and user trust.

Auditing large language models for unexpected behaviors is critical to preempt catastrophic deployments, yet remains challenging. In this work, we cast auditing as an optimization problem, where we automatically search for input-output pairs that match a desired target behavior. For example, we might aim to find a non-toxic input that starts with "Barack Obama" that a model maps to a toxic output. This optimization problem is difficult to solve as the set of feasible points is sparse, the space is discrete, and the language models we audit are non-linear and high-dimensional. To combat these challenges, we introduce a discrete optimization algorithm, ARCA, that jointly and efficiently optimizes over inputs and outputs. Our approach automatically uncovers derogatory completions about celebrities (e.g. "Barack Obama is a legalized unborn" -> "child murderer"), produces French inputs that complete to English outputs, and finds inputs that generate a specific name. Our work offers a promising new tool to uncover models' failure-modes before deployment.

Founders face two linked decisions: whether to pursue an idea before founding, and which operating actions and capital partners fit afterward. We present a public-data decision-support toolchain combining time-bounded proposal profiling, market and moat checks, and deterministic aggregation with auditable investor-company event chains for retrospective analysis. Pre-founding: (a) After threshold selection on 198 development companies, the frozen pipeline achieves F0.5=0.5357 [0.412, 0.655] on an independent, row-disjoint 198-company validation sample. On the combined 396 rows, the Full Pipeline scores 0.6301 versus 0.2734 for a paired Raw LLM baseline. Post-stratification of 1,027 completed cases in a separate scale cohort yields 0.6506 [0.598, 0.707]; the run remains incomplete. A 377-row composition-matched check yields 0.6573. (b) The AI-inference study identifies distribution-layer businesses as a replicable path to independent profitability with a limited revenue ceiling, and frontier-model ownership as a path to capital-market upside at exceptional capital cost. Post-founding: (a) Public sources support auditable event-chain analysis. (b) In the chip-company study, sustained product, customer, and supply-chain progress is associated with better observed outcomes; financing alone does not establish operating progress. (c) Financing comprises 79% of confirmed visible post-investment actions. Evidence tentatively favors acquisition-experienced strategic corporate investors for acquisition-oriented founders and financing-led institutional VCs with fewer observed control events for independence-oriented founders. Findings are developmental and observational, not causal guarantees or investment advice. We release shared ontology, provenance-bearing EventChain data, schemas, benchmarks, and executable skills for audit, reuse, and extension.

Medical vision-language models report strong chest radiograph accuracy, and this is increasingly read as evidence that they use the image. That inference is unsafe: a model exploiting finding-name priors scores like one that reads the scan, and no standard benchmark separates them. We introduce a causal audit that intervenes on the image, occluding the relevant region, occluding an irrelevant one, and swapping in another patient's same-label scan, and combines three behavioral metrics to test whether a correct answer depends on the image. Across nine systems, a text-only model with no image access reaches within 5.7 accuracy points of the best multimodal one, and a 119-billion-parameter multimodal model is statistically indistinguishable from a 7-billion text-only baseline. The audit splits the cohort into three models that ignore the image, one that is unstable, and five that use it selectively, for a subset of findings; the categories hold across a second dataset, resolution, and prompt phrasing. Against board-certified radiologists, a text-only model is statistically indistinguishable from a radiologist's accuracy while grounding at zero, whereas the image-using models ground at radiologist-comparable rates. Reported confidence flags ungrounded answers only when a model uses the image. Grounding audits, not accuracy, should gate clinical deployment.

Decision models, non-generative scorers that report a probability over caller-supplied options and emit no text, are increasingly deployed as routers, classifiers and guardrails. Because they generate nothing, rationales and chain-of-thought do not apply. We audit three: an encoder scorer, a decoder scorer and a closed API, entirely through interventions on their input, using expert-annotated Bengali idioms carrying a gold figurative and a gold literal gloss. Dropping an idiom's own literal gloss into the option list draws every arm toward it, taking 65% to 96% of each arm's remaining Bengali errors. A model-by-language matrix over one shared item set shows how far this depends on the test language: every arm is 1.9 to 6.4 times more captured in Bengali than in English on the same paired entries, the commercial model's apparent resistance is a property of its test language, and capability does not order the failure. Calibration degrades in all three arms, and on the open arms confidence inverts, so gating on it is worse than gating at random. On a semantics-free option list, where accuracy is at chance, the best-calibrated arm still reports mean confidence 0.82. Code and data: https://github.com/sakhadib/literal-lock-in.

In recent years, Large Language Models (LLMs) have faced increasing demands to selectively remove sensitive information, protect privacy, and comply with copyright regulations through unlearning, by Machine Unlearning. While evaluating unlearning effectiveness is crucial, existing benchmarks are limited in scale and comprehensiveness, typically containing only a few hundred test cases. We identify two critical challenges in generating holistic audit datasets: ensuring audit adequacy and handling knowledge redundancy between forget and retain dataset. To address these challenges, we propose HANKER, an automated framework for holistic audit dataset generation leveraging knowledge graphs to achieve fine-grained coverage and eliminate redundant knowledge. Applying HANKER to the popular MUSE benchmark, we successfully generated over 69,000 and 111,000 audit cases for the News and Books datasets respectively, identifying thousands of knowledge memorization instances that the previous benchmark failed to detect. Our empirical analysis uncovers how knowledge redundancy significantly skews unlearning effectiveness metrics, with redundant instances artificially inflating the observed memorization measurements ROUGE from 19.7% to 26.1% and Entailment Scores from 32.4% to 35.2%, highlighting the necessity of systematic deduplication for accurate assessment.

Benchmarks for evaluating large language models on register-transfer-level (RTL) hardware design have proliferated rapidly, yet none reports having applied mutation testing, an established hardware-verification technique for quantifying testbench quality, to ask whether its own testbenches are trustworthy. A testbench that never fails is not evidence of a correct design; it may simply never stimulate the logic that is actually broken. We introduce GateTruth, a mutation-testing engine and methodology for auditing RTL benchmark testbench rigor: inject a deterministic, seeded set of semantic mutants into a reference design and measure what fraction the testbench catches. We validate the methodology against our own 68-task, dual-track reference suite -- 60 specification-to-RTL generation tasks and 8 agentic-repair tasks, scored through a pinned, deterministic synthesis-to-timing flow with correctness enforced as a strict gate -- certifying that 46 of 60 Track A testbenches kill at least 95% of injected mutants under sequential, reproducible execution; we disclose why the other 14 do not, including a Goodhart effect on testbenches revised to pass this gate. We then point the same engine, unmodified, at RTLLM v2.0, a widely adopted external benchmark: of 46 auditable designs, 72% fall below the 95% floor our own suite is held to, and three score 0% outright. A comparable audit of NVIDIA's CVDP benchmark is structurally impossible: its public release withholds reference solutions, removing the golden RTL mutation testing requires. Auditing our own instrument also surfaced a second finding: an initially uniform 4096-token output cap silently truncated three of seven evaluated models, and re-running at 16,384 tokens moved one model from fifth place to first. We argue mutation-kill certification should become a standard reporting requirement for RTL-generation benchmarks generally.

We introduce AuditBench, an alignment auditing benchmark. AuditBench consists of 56 language models with implanted hidden behaviors. Each model has one of 14 concerning behaviors--such as sycophantic deference, opposition to AI regulation, or secret geopolitical loyalties--which it does not confess to when directly asked. AuditBench models are highly diverse--some are subtle, while others are overt, and we use varying training techniques both for implanting behaviors and training models not to confess. To demonstrate AuditBench's utility, we develop an investigator agent that autonomously employs a configurable set of auditing tools. By measuring investigator agent success using different tools, we can evaluate their efficacy. Notably, we observe a tool-to-agent gap, where tools that perform well in standalone non-agentic evaluations fail to translate into improved performance when used with our investigator agent. We find that our most effective tools involve scaffolded calls to auxiliary models that generate diverse prompts for the target. White-box interpretability tools can be helpful, but the agent performs best with black-box tools. We also find that audit success varies greatly across training techniques: models trained on synthetic documents are easier to audit than models trained on demonstrations, with better adversarial training further increasing auditing difficulty. We release our models, agent, and evaluation framework to support future quantitative, iterative science on alignment auditing.

Evaluating large language models (LLMs) on AMLworld's smallest test splits is costly because each of over a million targets requires a separate graph prompt. Sampling reduces this cost, but small balanced subsets change unweighted precision and F1. We introduce AMLworld-Compact, an evaluation set that retains every illicit test transaction and samples benign transactions from supervised-score strata. Its HT-Coreset protocol reduces evaluation targets by 271x and 611x on HI-Small and LI-Small. Horvitz-Thompson weights give unbiased full-test confusion-count estimates for fixed predictions; recall is exact, while precision and F1 are ratio estimates. In a held-out study using Graph Feature Preprocessor (GFP) features, one boosted-tree family defines strata for evaluating the other over 500 draws per configuration. At the released sizes, F1 RMSE is 0.00-2.58 percentage points versus 4.44-7.41 for uniform sampling with HT weights; conservative intervals remain broad. Under the evaluated graph prompts, seven open-weight LLMs have weighted precision near the predict-all-illicit baseline. In an outcome-stratified audit of 1,000 HI-Small few-shot outputs from one run per model, lexical checks pass for 84.5% of correct and 56.2% of incorrect binary verdicts, so these markers do not establish correctness. We release the evaluation sets, construction code, and audit tools at https://huggingface.co/datasets/typhoon-ai/AMLworldCompactEval and https://github.com/nat-nischw/AMLworld-Compact.

We formalize prefix invariance: representations at position t must not depend on future inputs. We give a lightweight audit, two forward passes, no training or gradients, that localizes exactly where causality breaks. Attention-mask inspection is incomplete: leaks can occur via scans or normalization despite correct masks. Across 192 injected-fault trials on eight checkpoints, mask inspection found none, while our audit localized all 192/192, also finding a defect in Zamba2 and Nemotron-H.

Per-subgroup fairness audits of medical image classifiers face a sample-size problem: minority subgroups in held-out test sets have so few samples that the resulting confidence intervals on per-subgroup performance are wider than the bias the audit is meant to detect. We argue that a demographically-conditioned synthetic generator can do both: mitigate bias on the training side and detect bias on the evaluation side. Working on COVID-19 chest CT classification with an end-to-end fine-tuned Stable Diffusion 2.1 generator, we make two findings. For bias mitigation (training), a demographically-balanced synthetic cohort is most useful as a pretraining prior, not as joint augmentation: with the same fixed data, sequential pretraining followed by fine-tuning substantially outperforms joint augmentation, and the resulting classifier surpasses the full-real baseline at sim100times real-data efficiency. For bias detection (evaluation), across five synthetic minority cohorts and five classifier seeds, the synthetic estimator reproduces the subgroup ranking of a well-powered real oracle (Spearman ρ= 1.00 on MCC and Recall) and gives the more reliable per-cell estimate where the small real test set runs out of samples. The synthetic cohort is therefore most useful in exactly the cells that fairness audits care about, as both a fix for and a measure of subgroup bias.

As Large Language Models (LLMs) gain wider adoption in various contexts, it becomes crucial to ensure they are reasonably safe, consistent, and reliable for an application at hand. This may require probing or auditing them. Probing LLMs with varied iterations of a single question could reveal potential inconsistencies in their knowledge or functionality. However, a tool for performing such audits with simple workflow and low technical threshold is lacking. In this demo, we introduce "AuditLLM," a novel tool designed to evaluate the performance of various LLMs in a methodical way. AuditLLM's core functionality lies in its ability to test a given LLM by auditing it using multiple probes generated from a single question, thereby identifying any inconsistencies in the model's understanding or operation. A reasonably robust, reliable, and consistent LLM should output semantically similar responses for a question asked differently or by different people. Based on this assumption, AuditLLM produces easily interpretable results regarding the LLM's consistencies from a single question that the user enters. A certain level of inconsistency has been shown to be an indicator of potential bias, hallucinations, and other issues. One could then use the output of AuditLLM to further investigate issues with the aforementioned LLM. To facilitate demonstration and practical uses, AuditLLM offers two key modes: (1) Live mode which allows instant auditing of LLMs by analyzing responses to real-time queries; (2) Batch mode which facilitates comprehensive LLM auditing by processing multiple queries at once for in-depth analysis. This tool is beneficial for both researchers and general users, as it enhances our understanding of LLMs' capabilities in generating responses, using a standardized auditing platform.

Typically, tokenization is the very first step in most text processing works. As a token serves as an atomic unit that embeds the contextual information of text, how to define a token plays a decisive role in the performance of a model.Even though Byte Pair Encoding (BPE) has been considered the de facto standard tokenization method due to its simplicity and universality, it still remains unclear whether BPE works best across all languages and tasks. In this paper, we test several tokenization strategies in order to answer our primary research question, that is, "What is the best tokenization strategy for Korean NLP tasks?" Experimental results demonstrate that a hybrid approach of morphological segmentation followed by BPE works best in Korean to/from English machine translation and natural language understanding tasks such as KorNLI, KorSTS, NSMC, and PAWS-X. As an exception, for KorQuAD, the Korean extension of SQuAD, BPE segmentation turns out to be the most effective.

AI systems are increasingly deployed in real-world settings where their behavior is shaped by dynamic environments, evolving data distributions, and complex interactions with users and infrastructure. Traditional machine learning evaluation focuses on benchmarks and operates within sandboxed environments, providing only a limited view of the true system behavior in the wild. We argue for the development of principled auditing frameworks that monitor deployed AI systems throughout their lifecycle. We further propose framing auditing as a statistical problem of monitoring constraint violations under uncertainty, where desired properties (e.g., fairness and safety) are treated as risk-controlled constraints that must be continuously evaluated as systems evolve through iterative feedback. This perspective highlights the need for uncertainty-aware monitoring methods, socio-technical specifications of audit criteria, and auditing infrastructures that enable ongoing oversight of AI systems in the wild.

Prior white-box studies show that large language models can retain latent traces of target knowledge after unlearning, even when the knowledge is no longer expressed in their outputs. However, existing audits remain limited to one-off diagnostics: it is unclear whether these residual signals can predict future recovery under continued training or serve as reliable optimization targets. Resolving this gap is essential to determine whether internal auditing can move beyond post-hoc evaluation toward proactive risk monitoring and safer unlearning. We propose J-Access, an inference-time audit that uses the Jacobian lens to map intermediate representations into vocabulary space and measures how often target concepts remain accessible along the model's output pathway. We hypothesize that residual accessibility reflects recovery susceptibility: knowledge that remains closer to the output pathway requires less fine-tuning to restore, leading to faster recovery. We audit 398 public unlearned models spanning eight unlearning methods. We find that: (1) most unlearned models retain access above the retain-only gold level; (2) pre-attack accessibility predicts recovery speed and extent at the model level, but cannot identify which specific facts will be recovered; and (3) directly minimizing J-Access does not promote genuine deletion. Instead, the model learns to hide knowledge from the audit, producing lower audit scores but greater post-attack recovery. These findings position J-Access as a model-level diagnostic for assessing residual susceptibility in unlearned models. We argue internal audits should serve as an independent diagnostic dimension in unlearning evaluation, and should not be converted into optimization targets without validation.

We investigate how looped transformers encode human preference, training lightweight evaluator heads on frozen Ouro-2.6B loop-iteration states on Anthropic HH-RLHF. v2: an erratum is prepended; the original manuscript is unchanged. A post-publication audit found the three headline results inflated by two independent evaluation errors. The 95.2% pairwise evaluator accuracy is a canonical-ordering artifact: the data were correctly split, but the evaluator learned to prefer the first-presented argument; its strict antisymmetrized accuracy on the full 8,552-pair test set is 63.9%. The 84.5% pairwise probe and the below-chance 21.75% pointwise probe were source-item leaks (orientation rows and pair partners crossing the train/test split); corrected pair-disjoint values are 56.5% and 54.2% -- above chance, so the "inverted polarity" finding is withdrawn. The central finding survives at much smaller magnitude: preference is decoded more accurately relationally than pointwise (paired +2.3 points, 95% CI [+1.3, +3.3]), and the antisymmetrized evaluator still beats the linear probe, but no corrected readout rivals end-to-end reward models. The methodological findings stand (constant-output degeneracy, flip test, swap-protocol metric deflation), with one correction: antisymmetrized accuracy, not antisymmetry correlation, certifies relational discrimination. The two errors are mutually invisible -- a split audit cannot see an ordering prior, antisymmetrization cannot see a leak -- so both checks are required. Full audit in the follow-up work (Kirin, 2026, in preparation).

Tokenization is a foundational step in Natural Language Processing (NLP) tasks, bridging raw text and language models. Existing tokenization approaches like Byte-Pair Encoding (BPE) originate from the field of data compression, and it has been suggested that the effectiveness of BPE stems from its ability to condense text into a relatively small number of tokens. We test the hypothesis that fewer tokens lead to better downstream performance by introducing PathPiece, a new tokenizer that segments a document's text into the minimum number of tokens for a given vocabulary. Through extensive experimentation we find this hypothesis not to be the case, casting doubt on the understanding of the reasons for effective tokenization. To examine which other factors play a role, we evaluate design decisions across all three phases of tokenization: pre-tokenization, vocabulary construction, and segmentation, offering new insights into the design of effective tokenizers. Specifically, we illustrate the importance of pre-tokenization and the benefits of using BPE to initialize vocabulary construction. We train 64 language models with varying tokenization, ranging in size from 350M to 2.4B parameters, all of which are made publicly available.

In recent years, Large Language Models (LLMs) have achieved remarkable advancements, drawing significant attention from the research community. Their capabilities are largely attributed to large-scale architectures, which require extensive training on massive datasets. However, such datasets often contain sensitive or copyrighted content sourced from the public internet, raising concerns about data privacy and ownership. Regulatory frameworks, such as the General Data Protection Regulation (GDPR), grant individuals the right to request the removal of such sensitive information. This has motivated the development of machine unlearning algorithms that aim to remove specific knowledge from models without the need for costly retraining. Despite these advancements, evaluating the efficacy of unlearning algorithms remains a challenge due to the inherent complexity and generative nature of LLMs. In this work, we introduce a comprehensive auditing framework for unlearning evaluation, comprising three benchmark datasets, six unlearning algorithms, and five prompt-based auditing methods. By using various auditing algorithms, we evaluate the effectiveness and robustness of different unlearning strategies. To explore alternatives beyond prompt-based auditing, we propose a novel technique that leverages intermediate activation perturbations, addressing the limitations of auditing methods that rely solely on model inputs and outputs.

As large language models become increasingly widespread, third-party providers that deploy open-weight models have become an important part of the ecosystem. Auditing the quality of their inference APIs is therefore an open problem. We formalize hosted model routing as a stochastic process and propose \textbf{Ventor-QTest}, a composite black-box audit that requires no probability information from the target API. Its repeated-request component sends each frozen constrained context to the target multiple times, reconstructs a categorical output distribution from the returned text counts, and reports average fidelity loss (AFL) as a null-bias-corrected, within-window mean coarsened-KL statistic. Its long-sequence component uses independent runs to report extreme fidelity loss (EFL) through the empirical upper tail of a run-level reference-centered-surprisal statistic. Across three logprob-capable route conditions, AFL shows strong linear descriptive agreement with a logprob-derived coarsened-KL comparator. Across seven route snapshots, 20-run sequence probes reveal route-specific EFL variation. AFL and EFL have little detectable route-level association with GPQA-Diamond accuracy. In contrast, pronounced EFL coincides with a decline in Terminal-Bench pass rate as task exposure increases. This pattern may arise because correctness in long-horizon tasks is more sensitive to extreme fidelity loss. These results motivate reporting AFL and EFL jointly, particularly when auditing long-horizon agentic tasks. The open-source implementation is available at https://github.com/Tencent/AI-Infra-Guard/tree/main/services/api_checker/ventor_qtest.

Persistent AI agents extend large language models (LLMs) beyond single-turn interaction into long-lived software systems. Unlike traditional chat assistants, unsafe content in these agents can propagate through persistent state, reusable skills, and tool-mediated interactions, creating a substantially larger semantic attack surface. We observe that most security-critical interactions in such agents are transmitted through natural-language token flows, including memory updates, tool arguments, retrieved files, and inter-component communications. This observation enables a new security formulation: unsafe behavior can be intercepted as risky semantic flows before reaching privileged runtime sinks. Based on this insight, we propose TokenWall, a runtime defense framework that acts as a semantic firewall over agent token flows. TokenWall performs boundary-aware semantic auditing over these flows, constructing structured source-sink audit records, applying lightweight local inspection before execution, and selectively escalating ambiguous high-risk cases to stronger arbitration modules. Unlike prior approaches that rely on sparse auditing or remote large-model oversight, TokenWall enables full-coverage pre-execution mediation while reducing remote arbitration and latency. Experiments on CIK-Bench show that TokenWall reduces attack success rate to 12.5% while maintaining a 97.4% benign executable pass rate without human confirmation. TokenWall further introduces only 0.69 seconds of additional latency on benign cases, demonstrating that semantic runtime containment can achieve a practical security-utility trade-off for persistent AI agents.

Automatic Speech Recognition (ASR) is increasingly used to document clinical encounters, yet its reliability in multilingual and demographically diverse Indian healthcare contexts remains largely unknown. In this study, we conduct the first systematic audit of ASR performance on real world clinical interview data spanning Kannada, Hindi, and Indian English, comparing leading models including Indic Whisper, Whisper, Sarvam, Google speech to text, Gemma3n, Omnilingual, Vaani, and Gemini. We evaluate transcription accuracy across languages, speakers, and demographic subgroups, with a particular focus on error patterns affecting patients vs. clinicians and gender based or intersectional disparities. Our results reveal substantial variability across models and languages, with some systems performing competitively on Indian English but failing on code mixed or vernacular speech. We also uncover systematic performance gaps tied to speaker role and gender, raising concerns about equitable deployment in clinical settings. By providing a comprehensive multilingual benchmark and fairness analysis, our work highlights the need for culturally and demographically inclusive ASR development for healthcare ecosystem in India.

Large language models (LLMs) are increasingly under scrutiny for perpetuating identity-based discrimination in high-stakes domains such as hiring, particularly against people with disabilities (PwD). However, existing research remains largely Western-centric, overlooking how intersecting forms of marginalization--such as gender and caste--shape experiences of PwD in the Global South. We conduct a comprehensive audit of six LLMs across 2,820 hiring scenarios spanning diverse disability, gender, nationality, and caste profiles. To capture subtle intersectional harms and biases, we introduce ABLEIST (Ableism, Inspiration, Superhumanization, and Tokenism), a set of five ableism-specific and three intersectional harm metrics grounded in disability studies literature. Our results reveal significant increases in ABLEIST harms towards disabled candidates--harms that many state-of-the-art models failed to detect. These harms were further amplified by sharp increases in intersectional harms (e.g., Tokenism) for gender and caste-marginalized disabled candidates, highlighting critical blind spots in current safety tools and the need for intersectional safety evaluations of frontier models in high-stakes domains like hiring.

Existing bias auditing methods typically rely on model outputs, requiring costly benchmarks or judge models and potentially missing internal shifts that never appear in generated text. We propose a reference-based method that audits bias in hidden-state representations across related model variants, for example before and after fine-tuning. Because fine-tuning reshapes representation geometry, absolute hidden states are not directly comparable, so we encode each sentence by its similarities to a fixed set of anchor sentences, yielding relative representations in a shared comparison space. There we measure how target groups shift in their association with positive and negative attributes, a quantity we call the Representational Bias Shift ΔB. Across three model families and the WildGuardMix, DecodingTrust and ToxiGen benchmarks, ΔB correlates with output-level bias change in 15 of the 18 settings we test, reaching |r| = 0.84 (p < 0.001) under full fine-tuning and becoming more model-dependent under parameter-efficient adaptation. Thresholding ΔB detects checkpoints whose bias increased with ROC AUC between 0.65 and 0.99, and on WildGuardMix and DecodingTrust it separates them better than a SEAT-based baseline for all three families. ΔB is also stable under changes to the anchor set, attribute sets and target templates. Our method requires no task-specific evaluation data and audits a model in about three minutes, using 3-50times less compute than the output-level benchmarks considered here. We view it as complementary to output-based auditing rather than a replacement for it.

Membership inference (MIA) on language models is usually summarised by aggregate ROC-AUC, but such evaluations are confounded: model-free blind baselines can separate members from non-members using surface text alone. Building on probabilistic discoverable extraction, we study black-box training-data leakage using N samples from p_theta(. | x), placing mean overlap, extreme-value overlap, and self-concentration on a common functional-estimation footing. On WikiMIA, a blind bag-of-words classifier reaches AUC 0.97 (TPR 0.90 at 5% FPR) while sampling adds nothing. On an IID Pile split (MIMIR), neither self-concentration nor gold-continuation recovery significantly exceeds a blind baseline in aggregate. Aggregate metrics hide the real harm: sampling verbatim-extracts training data for a tail of documents no blind attack can reach. On Pythia-6.9B, 16.6% of 500 Pile documents bearing a real identifier (83 documents; 21.3% of those bearing an email address) have that identifier reproduced and not reproduced under a mismatched-prefix control. Each leak is attributable to that document rather than a globally common string. This per-document disclosure is invisible to aggregate AUC. Risk is uneven: identifier leakage is about 3x stronger in code than prose, though prose remains positive and grows with capacity (4.0% to 12.1% from 410M to 6.9B); recovery of arbitrary held-out continuations is essentially confined to code (+0.44 member gap on GitHub vs at most +0.014 on prose). Temperature and nucleus sampling have minor effect, a 16-token prefix suffices, and the sample-budget relationship corroborates prior probabilistic-extraction results. We detect no reduction from deduplication. Privacy audits should report per-document extraction, not only aggregate membership, and motivate differential privacy as the mitigation. We release leakit, a black-box tool implementing this probe and its control.

Keyword-matching benchmarks can credit small models for tool use they never perform. We document such a false positive in a matched-architecture pair of Spanish security language models and propose a ladder of strict, cheap diagnostics. A 661.6M parameter model (approx. 65% code/technical text; no dedicated SFT) and a 1,109M model (web-heavy multi-phase curriculum; 6B-token tool-SFT) share decoder, tokenizer, and special tokens, scoring almost identically on lenient tool-use metrics (B4: 0.660 vs. 0.650). Verbatim-reproduction checks on training examples separate them completely: the 600M emits valid tool calls with generalized arguments on 6/6 examples; the 1B does so on 0/6 across checkpoints. A first-token probe localizes the 1B's failure to a missing prior (prob. 10^{-4}--10^{-5} on <|tool_call|>), which was erased by its web-heavy training phase. A targeted SFT recipe (diverse corpus, 5x higher learning rate, 2,202 steps, ~3.3 GPU-hours) repairs the 1B using three orders of magnitude fewer tokens than the failed phase. On all 269 corpus rows, valid emission rises from 0.100 to 0.959 (600M: 0.926). On 238 unseen prompts, the repaired 1B passes 0.536 vs. the 600M's 0.428 (p = 0.004). Embedding-drift checks show the repair did not move the trigger token's tied embedding (97.7% of the bf16 table remains bit-identical), meaning changes live in the surrounding network. Both models over-trigger, rarely answering negative prompts without a call (0.09 for 600M, 0.17 for repaired 1B). Factorial analyses confirm all repair configurations install the format, though suppression benefits from a diverse corpus remain a hypothesis due to seed sensitivity. This cheap diagnostic ladder costs minutes of CPU time and should gate tool-use claims on small models.

Recent legislation required AI platforms to provide APIs for regulators to assess their compliance with the law. Research has nevertheless shown that platforms can manipulate their API answers through fairwashing. Facing this threat for reliable auditing, this paper studies the benefits of the joint use of platform scraping and of APIs. In this setup, we elaborate on the use of scraping to detect manipulated answers: since fairwashing only manipulates API answers, exploiting scraps may reveal a manipulation. To abstract the wide range of specific API-scrap situations, we introduce a notion of proxy that captures the consistency an auditor might expect between both data sources. If the regulator has a good proxy of the consistency, then she can easily detect manipulation and even bypass the API to conduct her audit. On the other hand, without a good proxy, relying on the API is necessary, and the auditor cannot defend against fairwashing. We then simulate practical scenarios in which the auditor may mostly rely on the API to conveniently conduct the audit task, while maintaining her chances to detect a potential manipulation. To highlight the tension between the audit task and the API fairwashing detection task, we identify Pareto-optimal strategies in a practical audit scenario. We believe this research sets the stage for reliable audits in practical and manipulation-prone setups.

AI systems deployed in legal workflows hallucinate at rates that aggregate metrics report at ~52%, but this average conceals where errors concentrate and in which direction they run, leaving compliance officers without an actionable signal for trustworthy deployment. We present LegalHalluLens, an auditing framework with three components: typed hallucination profiles across four legally-motivated claim categories (numeric, temporal, obligation/entitlement, factual) over CUAD (Hendrycks et al., 2021); a Risk Direction Index (RDI) that reduces omission-versus-invention bias to a single deployment-comparable scalar; and a typed debate pipeline calibrated to both magnitudes and directions. Across 510 contracts and 249,252 clause-level instances we measure a within-model gap of approximately 38-40 pp between obligation/numeric and temporal claims that aggregate reporting hides, and show that two systems with matched 52% rates can carry opposite RDIs. The debate pipeline reduces fabricated detections by 45% with per-category gains tracking the diagnosis, matching commercial APIs with a substantially smaller backbone (4B active parameters). Typed profiles and RDI surface failure modes that aggregate metrics hide; we further show these diagnostics serve as calibration inputs for multi-agent debate pipelines, where Skeptic challenges and asymmetric gates targeted at measured failure modes outperform generically-tuned debate. The framework supports direction-aware procurement, accountability, and agent design for legal AI deployed in the wild.

With the success of large-scale pre-training and multilingual modeling in Natural Language Processing (NLP), recent years have seen a proliferation of large, web-mined text datasets covering hundreds of languages. We manually audit the quality of 205 language-specific corpora released with five major public datasets (CCAligned, ParaCrawl, WikiMatrix, OSCAR, mC4). Lower-resource corpora have systematic issues: At least 15 corpora have no usable text, and a significant fraction contains less than 50% sentences of acceptable quality. In addition, many are mislabeled or use nonstandard/ambiguous language codes. We demonstrate that these issues are easy to detect even for non-proficient speakers, and supplement the human audit with automatic analyses. Finally, we recommend techniques to evaluate and improve multilingual corpora and discuss potential risks that come with low-quality data releases.

AI-assisted software generation has increased development speed, but it has also amplified a persistent engineering problem: systems that are functionally correct may still be structurally insecure. In practice, prompt-based security review with large language models often suffers from uneven coverage, weak reproducibility, unsupported findings, and the absence of an immutable audit trail. The ESAA architecture addresses a related governance problem in agentic software engineering by separating heuristic agent cognition from deterministic state mutation through append-only events, constrained outputs, and replay-based verification. This paper presents ESAA-Security, a domain-specific specialization of ESAA for agent-assisted security auditing of software repositories, with particular emphasis on AI-generated or AI-modified code. ESAA-Security structures auditing as a governed execution pipeline with four phases reconnaissance, domain audit execution, risk classification, and final reporting and operationalizes the workflow into 26 tasks, 16 security domains, and 95 executable checks. The framework produces structured check results, vulnerability inventories, severity classifications, risk matrices, remediation guidance, executive summaries, and a final markdown/JSON audit report. The central idea is that security review should not be modeled as a free-form conversation with an LLM, but as an evidence-oriented audit process governed by contracts and events. In ESAA-Security, agents emit structured intentions under constrained protocols; the orchestrator validates them, persists accepted outputs to an append-only log, reprojects derived views, and verifies consistency through replay and hashing. The result is a traceable, reproducible, and risk-oriented audit architecture whose final report is auditable by construction.

Code auditing is the process of reviewing code with the aim of identifying bugs. Large Language Models (LLMs) have demonstrated promising capabilities for this task without requiring compilation, while also supporting user-friendly customization. However, auditing a code repository with LLMs poses significant challenges: limited context windows and hallucinations can degrade the quality of bug reports, and analyzing large-scale repositories incurs substantial time and token costs, hindering efficiency and scalability. This work introduces an LLM-based agent, RepoAudit, designed to perform autonomous repository-level code auditing. Equipped with agent memory, RepoAudit explores the codebase on demand by analyzing data-flow facts along feasible program paths within individual functions. It further incorporates a validator module to mitigate hallucinations by verifying data-flow facts and checking the satisfiability of path conditions associated with potential bugs, thereby reducing false positives. RepoAudit detects 40 true bugs across 15 real-world benchmark projects with a precision of 78.43%, requiring on average only 0.44 hours and $2.54 per project. Also, it detects 185 new bugs in high-profile projects, among which 174 have been confirmed or fixed. We have open-sourced RepoAudit at https://github.com/PurCL/RepoAudit.

Every production model is updated, by retraining, fine-tuning, quantization, or a silent vendor swap, and each update risks being worse than what it replaced. We formalize update promotion as certified paired risk-difference auditing. Our starting point is a support identity: the risk difference between two models lives on the inputs where they disagree, observable without labels. We build DISCERN, a sequential two-tier protocol. A zero-label tier certifies benign updates whose disagreement rate is below tolerance from unlabeled traffic alone. An audited tier labels only sampled disagreements through an anytime-valid confidence sequence, valid at every stopping time and under any label-routing rule, even an adversarial judge. We prove finite-sample validity and matching label-complexity bounds of order rho^2/eps^2 at the rate level, so exploiting free disagreement provably saves a factor 1/rho over any pairing-blind auditor, and the guarantee composes across an unbounded sequence of promotions from one error budget. Across 14,000+ replayed audit streams over 785 update pairs, including LoRA fine-tunes of language models up to 1.4B parameters, miscoverage is 0.0002 (nominal 5%), power 0.986 with zero false alarms, and 56% of benign updates certify with zero labels. Each audit emits a machine-checkable evidence record for post-market monitoring.

While LLMs have shown great success in financial tasks like stock prediction and question answering, their application in fully automating Equity Research Report generation remains uncharted territory. In this paper, we formulate the Equity Research Report (ERR) Generation task for the first time. To address the data scarcity and the evaluation metrics absence, we present an open-source evaluation benchmark for ERR generation - FinRpt. We frame a Dataset Construction Pipeline that integrates 7 financial data types and produces a high-quality ERR dataset automatically, which could be used for model training and evaluation. We also introduce a comprehensive evaluation system including 11 metrics to assess the generated ERRs. Moreover, we propose a multi-agent framework specifically tailored to address this task, named FinRpt-Gen, and train several LLM-based agents on the proposed datasets using Supervised Fine-Tuning and Reinforcement Learning. Experimental results indicate the data quality and metrics effectiveness of the benchmark FinRpt and the strong performance of FinRpt-Gen, showcasing their potential to drive innovation in the ERR generation field. All code and datasets are publicly available.

Large language models (LLMs) are trained using massive datasets, which often contain undesirable content such as harmful texts, personal information, and copyrighted material. To address this, machine unlearning aims to remove information from trained models. Recent work has shown that soft token attacks (STA) can successfully extract unlearned information from LLMs, but in this work we show that STAs can be an inadequate tool for auditing unlearning. Using common benchmarks such as Who Is Harry Potter? and TOFU, we demonstrate that in a strong auditor setting such attacks can elicit any information from the LLM, regardless of the deployed unlearning algorithm or whether the queried content was originally present in the training corpus. We further show that STA with just a few soft tokens (1-10) can elicit random strings over 400 characters long, indicating that STAs must be used carefully to effectively audit unlearning. Example code can be found at: https://github.com/IntelLabs/LLMart/tree/main/examples/unlearning

It has recently been shown that deep learning models for anatomical segmentation in medical images can exhibit biases against certain sub-populations defined in terms of protected attributes like sex or ethnicity. In this context, auditing fairness of deep segmentation models becomes crucial. However, such audit process generally requires access to ground-truth segmentation masks for the target population, which may not always be available, especially when going from development to deployment. Here we propose a new method to anticipate model biases in biomedical image segmentation in the absence of ground-truth annotations. Our unsupervised bias discovery method leverages the reverse classification accuracy framework to estimate segmentation quality. Through numerical experiments in synthetic and realistic scenarios we show how our method is able to successfully anticipate fairness issues in the absence of ground-truth labels, constituting a novel and valuable tool in this field.

A tokenizer fixed at the start of pre-training allocates vocabulary in proportion to the pre-training corpus, reflecting the deployment priorities at that time. When those priorities shift, languages added later are split into many more tokens per word, which can raise latency, compute, and energy consumption for users of those languages. Cloud models can afford a broad vocabulary because the embedding and LM-head matrices are a small fraction of their parameters. On a compact model those matrices are a material share of per-token decode bandwidth, so on-device models ship small vocabularies and accept fragmentation outside a fixed language set. We present tokenizer expansion, an in-place recipe for upgrading a pre-trained model's tokenizer when the model producer controls its design. We continue the existing tokenizer's BPE merges on a multilingual corpus, so most source tokens carry over unchanged as single tokens and every new token has an exact decomposition into source tokens. We copy the carried-over embedding rows unchanged and initialize new rows as the mean of their source sub-token embeddings. A two-stage adaptation, embedding-only training then full-model continued pre-training, recovers source-checkpoint quality. We apply the recipe to a continued pre-trained checkpoint of LFM2-8B-A1B, an 8B-parameter Mixture-of-Experts model, to help produce LFM2.5-8B-A1B with a 128K tokenizer. The expanded tokenizer encodes Hindi and Vietnamese in roughly 2.4times and 2.6times fewer tokens than the source (up to 4.0times on Thai). Combining these reductions with the measured per-token cost of the larger vocabulary, we estimate a 2.2-3.7times per-character decode speedup for these languages across our reference devices. We release the model weights and the expanded tokenizer, and report the negative findings that shaped the recipe.

We expose a critical limitation in current approaches to machine unlearning in language models: despite the apparent success of unlearning algorithms, information about the forgotten data remains linearly decodable from internal representations. To systematically assess this discrepancy, we introduce an interpretable, information-theoretic framework for auditing unlearning using Partial Information Decomposition (PID). By comparing model representations before and after unlearning, we decompose the mutual information with the forgotten data into distinct components, formalizing the notions of unlearned and residual knowledge. Our analysis reveals that redundant information, shared across both models, constitutes residual knowledge that persists post-unlearning and correlates with susceptibility to known adversarial reconstruction attacks. Leveraging these insights, we propose a representation-based risk score that can guide abstention on sensitive inputs at inference time, providing a practical mechanism to mitigate privacy leakage. Our work introduces a principled, representation-level audit for unlearning, offering theoretical insight and actionable tools for safer deployment of language models.

As language models (LMs) approach human-level performance, a comprehensive understanding of their behavior becomes crucial. This includes evaluating capabilities, biases, task performance, and alignment with societal values. Extensive initial evaluations, including red teaming and diverse benchmarking, can establish a model's behavioral profile. However, subsequent fine-tuning or deployment modifications may alter these behaviors in unintended ways. We present a method for continual Behavioral Shift Auditing (BSA) in LMs. Building on recent work in hypothesis testing, our auditing test detects behavioral shifts solely through model generations. Our test compares model generations from a baseline model to those of the model under scrutiny and provides theoretical guarantees for change detection while controlling false positives. The test features a configurable tolerance parameter that adjusts sensitivity to behavioral changes for different use cases. We evaluate our approach using two case studies: monitoring changes in (a) toxicity and (b) translation performance. We find that the test is able to detect meaningful changes in behavior distributions using just hundreds of examples.

As Large Language Models (LLMs) become more pervasive across various users and scenarios, identifying potential issues when using these models becomes essential. Examples of such issues include: bias, inconsistencies, and hallucination. Although auditing the LLM for these problems is often warranted, such a process is neither easy nor accessible for most. An effective method is to probe the LLM using different versions of the same question. This could expose inconsistencies in its knowledge or operation, indicating potential for bias or hallucination. However, to operationalize this auditing method at scale, we need an approach to create those probes reliably and automatically. In this paper we propose the LLMAuditor framework which is an automatic, and scalable solution, where one uses a different LLM along with human-in-the-loop (HIL). This approach offers verifiability and transparency, while avoiding circular reliance on the same LLM, and increasing scientific rigor and generalizability. Specifically, LLMAuditor includes two phases of verification using humans: standardized evaluation criteria to verify responses, and a structured prompt template to generate desired probes. A case study using questions from the TruthfulQA dataset demonstrates that we can generate a reliable set of probes from one LLM that can be used to audit inconsistencies in a different LLM. This process is enhanced by our structured prompt template with HIL, which not only boosts the reliability of our approach in auditing but also yields the delivery of less hallucinated results. The novelty of our research stems from the development of a comprehensive, general-purpose framework that includes a HIL verified prompt template for auditing responses generated by LLMs.

As AI agents are becoming widely adopted in the financial services industry, careful measurement is essential to understand where they can be reliably deployed and where oversight and professional review remain necessary. Such measurement, however, is constrained by limited access to proprietary or privacy-sensitive data. Existing benchmarks therefore often rely on publicly available data, human- and/or LLM-authored tasks, or simplified settings. We introduce FinancialAuditBench, a benchmark for evaluating agents on financial statement audit tasks, along with a framework for systematically generating synthetic engagements. Our task generation framework leverages differentially private aggregate statistics from historical audits along with audit expertise contributed through over 1,100 hours of benchmark development and review. FinancialAuditBench consists of 90 tasks spanning workpaper completion and review across six synthetic audit engagements, each containing an average of 179 files. Evaluation on eleven frontier models shows that while agents complete substantial portions of staff-level audit tasks well, they sometimes perform inappropriate procedures or produce incorrect documentation. Beyond financial auditing, our framework offers an approach for systematically generating synthetic tasks for model evaluation and training in privacy-sensitive domains.

Pre-tokenization, the initial step in many modern tokenization pipelines, segments text into smaller units called pretokens, typically splitting on whitespace and punctuation. While this process encourages having full, individual words as tokens, it introduces a fundamental limitation in most tokenization algorithms such as Byte Pair Encoding (BPE). Specifically, pre-tokenization causes the distribution of tokens in a corpus to heavily skew towards common, full-length words. This skewed distribution limits the benefits of expanding to larger vocabularies, since the additional tokens appear with progressively lower counts. To overcome this barrier, we propose BoundlessBPE, a modified BPE algorithm that relaxes the pretoken boundary constraint. Our approach selectively merges two complete pretokens into a larger unit we term a superword. Superwords are not necessarily semantically cohesive. For example, the pretokens " of" and " the" might be combined to form the superword " of the". This merging strategy results in a substantially more uniform distribution of tokens across a corpus than standard BPE, and compresses text more effectively, with an approximate 20% increase in bytes per token.

Automated checking pipelines increasingly place one language model as the checker and another (or the same one) as the fixer. We ask whether that wiring changes what the checker reports. Measuring false alarms on human-verified-correct ProcessBench traces with the present task held byte-identical, we find that a completed audit -> repair episode already in the model's context lowers false alarms in 15 of 15 model x wording combinations, by 2.8 to 11.5 percentage points against a length-matched non-audit control, a 9 to 25% reduction relative to that control. The direction contradicts what the accumulated-message literature predicts: an episode whose audit reported an error lowers false alarms further still, at all five wordings on the model where that manipulation lands cleanly, though a negativity asymmetry predicts more flagging. Decomposing the episode finds repair content and audit verdict complementary: different components carry the effect on different model families. Signal-detection analysis locates the change in the threshold rather than in discrimination -- the criterion moves in 15 of 15 combinations and survives correction in 13 while d' survives in none, though the d' test is half as sensitive by construction -- and a hand audit of 50 false alarms finds 82% simply wrong, so at this operating point the shift need not be harmful. With reasoning enabled the effect keeps its relative size on both models tested, and the threshold reading holds there too.

Large language models (LLMs) hold immense promise to serve complex health information needs but also have the potential to introduce harm and exacerbate health disparities. Reliably evaluating equity-related model failures is a critical step toward developing systems that promote health equity. In this work, we present resources and methodologies for surfacing biases with potential to precipitate equity-related harms in long-form, LLM-generated answers to medical questions and then conduct an empirical case study with Med-PaLM 2, resulting in the largest human evaluation study in this area to date. Our contributions include a multifactorial framework for human assessment of LLM-generated answers for biases, and EquityMedQA, a collection of seven newly-released datasets comprising both manually-curated and LLM-generated questions enriched for adversarial queries. Both our human assessment framework and dataset design process are grounded in an iterative participatory approach and review of possible biases in Med-PaLM 2 answers to adversarial queries. Through our empirical study, we find that the use of a collection of datasets curated through a variety of methodologies, coupled with a thorough evaluation protocol that leverages multiple assessment rubric designs and diverse rater groups, surfaces biases that may be missed via narrower evaluation approaches. Our experience underscores the importance of using diverse assessment methodologies and involving raters of varying backgrounds and expertise. We emphasize that while our framework can identify specific forms of bias, it is not sufficient to holistically assess whether the deployment of an AI system promotes equitable health outcomes. We hope the broader community leverages and builds on these tools and methods towards realizing a shared goal of LLMs that promote accessible and equitable healthcare for all.

Posted prices for AI inference have fallen steadily since 2024, yet the measured speed of that fall depends almost entirely on the method of measurement. This paper constructs quality-adjusted price indices for the AI inference market from public data. The panel assembles 21,024 posted-price observations across 3,208 models and 86 providers and joins them to 4,605 benchmark scores through a latent quality index estimated from benchmark response patterns, so the quality ladder of the hedonic tradition is built here from evaluations in place of product characteristics. Measured by the matched-model methods that statistical agencies apply to software, inference prices fell at 0.10 log points a year. The quality-adjusted index fell at 0.73, so 87% of the decline is invisible to current methods, with direct consequences for measured competition, concentration and productivity in this market. Counted per completed task, moreover, the buyer's price stopped falling. Reasoning models raised token consumption faster than token prices fell, and the seller's and buyer's prices accordingly diverged. A pre-registered validity audit disciplines the quality measure and yields the sharpest result. Excluding contamination-flagged benchmarks leaves model rankings intact at 0.998 yet moves the index by 0.49 log points a year, so the leaderboard-stability arguments standard in AI evaluation offer no defence of economic statistics built on benchmarks. Prices, quality and the audit are fully reproducible from public sources at zero cost.

While the existing literature on Differential Privacy (DP) auditing predominantly focuses on the centralized model (e.g., in auditing the DP-SGD algorithm), we advocate for extending this approach to audit Local DP (LDP). To achieve this, we introduce the LDP-Auditor framework for empirically estimating the privacy loss of locally differentially private mechanisms. This approach leverages recent advances in designing privacy attacks against LDP frequency estimation protocols. More precisely, through the analysis of numerous state-of-the-art LDP protocols, we extensively explore the factors influencing the privacy audit, such as the impact of different encoding and perturbation functions. Additionally, we investigate the influence of the domain size and the theoretical privacy loss parameters ε and δ on local privacy estimation. In-depth case studies are also conducted to explore specific aspects of LDP auditing, including distinguishability attacks on LDP protocols for longitudinal studies and multidimensional data. Finally, we present a notable achievement of our LDP-Auditor framework, which is the discovery of a bug in a state-of-the-art LDP Python package. Overall, our LDP-Auditor framework as well as our study offer valuable insights into the sources of randomness and information loss in LDP protocols. These contributions collectively provide a realistic understanding of the local privacy loss, which can help practitioners in selecting the LDP mechanism and privacy parameters that best align with their specific requirements. We open-sourced LDP-Auditor in https://github.com/hharcolezi/ldp-audit.

Tokenisation is an integral part of the current NLP pipeline. Current tokenisation algorithms such as BPE and Unigram are greedy algorithms -- they make locally optimal decisions without considering the resulting vocabulary as a whole. We instead formulate tokeniser construction as a linear program and solve it using convex optimisation tools, yielding a new algorithm we call ConvexTok. We find ConvexTok consistently improves intrinsic tokenisation metrics and the bits-per-byte (BpB) achieved by language models; it also improves downstream task performance, but less consistently. Furthermore, ConvexTok allows the user to certify how far their tokeniser is from optimal, with respect to a certain objective, via a lower bound, and we empirically find it to be within 1\% of optimal at common vocabulary sizes.

Representing speech as discrete tokens provides a framework for transforming speech into a format that closely resembles text, thus enabling the use of speech as an input to the widely successful large language models (LLMs). Currently, while several speech tokenizers have been proposed, there is ambiguity regarding the properties that are desired from a tokenizer for specific downstream tasks and its overall generalizability. Evaluating the performance of tokenizers across different downstream tasks is a computationally intensive effort that poses challenges for scalability. To circumvent this requirement, we present STAB (Speech Tokenizer Assessment Benchmark), a systematic evaluation framework designed to assess speech tokenizers comprehensively and shed light on their inherent characteristics. This framework provides a deeper understanding of the underlying mechanisms of speech tokenization, thereby offering a valuable resource for expediting the advancement of future tokenizer models and enabling comparative analysis using a standardized benchmark. We evaluate the STAB metrics and correlate this with downstream task performance across a range of speech tasks and tokenizer choices.

Large Language Models (LLMs) embed sensitive, human-generated data, prompting the need for unlearning methods. Although certified unlearning offers strong privacy guarantees, its restrictive assumptions make it unsuitable for LLMs, giving rise to various heuristic approaches typically assessed through empirical evaluations. These standard evaluations randomly select data for removal, apply unlearning techniques, and use membership inference attacks (MIAs) to compare unlearned models against models retrained without the removed data. However, to ensure robust privacy protections for every data point, it is essential to account for scenarios in which certain data subsets face elevated risks. Prior research suggests that outliers, particularly including data tied to minority groups, often exhibit higher memorization propensity which indicates they may be more difficult to unlearn. Building on these insights, we introduce a complementary, minority-aware evaluation framework to highlight blind spots in existing frameworks. We substantiate our findings with carefully designed experiments, using canaries with personally identifiable information (PII) to represent these minority subsets and demonstrate that they suffer at least 20% higher privacy leakage across various unlearning methods, MIAs, datasets, and LLM scales. Our proposed minority-aware evaluation framework marks an essential step toward more equitable and comprehensive assessments of LLM unlearning efficacy.

We describe a library of mathematical finance built in the Lean 4 proof assistant, on top of Mathlib and the BrownianMotion package. It is broad: more than two hundred sorry-free theorems across eleven areas, from the measure-theoretic foundations of continuous-time stochastic calculus through derivative pricing to applied risk, portfolio, and fixed-income theory, and, to our knowledge, the most comprehensive machine-checked development of mathematical finance to date. Breadth is the setting, not the point. Two things make it more than a catalogue. It reaches into the continuous theory far enough to construct the L2 Itô integral as a bounded linear isometry and to derive, rather than assume, the risk-neutral pricing measure. And it audits its own faithfulness: every result is classified by how its Lean statement relates to the mathematics it claims, and a build-enforced gate pins the axioms each proof actually uses, so a reader can see precisely what has been proved and what has only been proved under added hypotheses. We close with a candid finding: a formal base over classical financial mathematics yields certified unification of known results rather than new financial theory. The contribution is therefore methodological and infrastructural, reusable verified foundations for mathematical finance, together with the faithfulness audit.

Whether a language model has improved itself is increasingly judged not by mean accuracy but by which individual problems it gains and loses. Tracking these transitions means differencing two noisy estimates, leaving them vulnerable to measurement artifacts. Auditing three rounds of rank-32 LoRA self-training on Qwen3-8B against a frozen control pushed through the identical pipeline, we identify seven measurement failures, each of which inverts a reported finding when its control is absent. Several are standard practice. A ledger built on a single greedy decode manufactures capability changes on an untrained model, largely an artifact of inference batching; the expansion statistic separating acquisition from sharpening assigns that same model a rate of 0.280. The natural threshold repair does not survive replication: estimated across the frozen comparisons such a design already contains, its null stays non-zero. We replace it with a per-problem exact test against a pooled baseline under false-discovery-rate control, which detects nothing on any held-out replicate and is unchanged under the multiple-testing rule, error rate and pool size. Applied to a ladder of arms matched in stream, volume and evaluation, the audit finds that external distillation improves problems the base model rarely reaches while three forms of self-training do not; a regression rejects this asymmetry as a by-product of distillation's larger overall gain (p < 10^{-8}). On the far smaller set of problems the base model never reaches, the evidence is inconclusive, while self-training corrupts problems solved at baseline at rates well above the measured floor. Transition-level auditing therefore requires a separately measured null for every statistic it reports: nulls that cost no new experiments, built from baseline replicates a multi-arm study already owns, though not from as few as most possess.

Small language models are cheap to serve and feasible on local hardware, but strong public 135M-class systems are commonly trained with hundreds of billions to trillions of tokens on large clusters. We study a sharply resource-constrained regime: a complete 134.5M-parameter language-model pipeline executed on one NVIDIA L20 GPU. The released checkpoint, L20-Edu-135M, receives approximately 13B pretraining tokens: 10B FineWeb-Edu tokens followed by a 3B-token educational, mathematics, code, and reasoning mixture. We document the architecture, data gates, cross-source MinHash/LSH near-deduplication, segment deduplication, benchmark-overlap removal, throughput optimization, supervised fine-tuning (SFT) with weight interpolation, and reinforcement learning from verifiable rewards (RLVR) on GSM8K. In a self-run zero-shot six-task harness, L20-Edu-135M obtains a mean score of 0.4150. It trails SmolLM-135M (0.4767) and SmolLM2-135M (0.4917), but its mean is 87.1% of SmolLM-135M's while its nominal token count is 2.17% as large. This ratio is descriptive, not evidence of statistical equivalence or a controlled scaling law. The model exceeds several older 100M-160M public baselines under the same harness. Direct GRPO-style RLVR decreases GSM8K exact-match accuracy from 1.82% to 1.59% (192-token completions) and 1.21% (320-token completions). These single-run results identify a concrete failure mode rather than establishing a general lower bound on RLVR. The contribution is an auditable resource-constrained case study, not a state-of-the-art claim.

Tokenization is a crucial step in NLP, especially with the rise of large language models (LLMs), impacting downstream performance, computational cost, and efficiency. Existing LLMs rely on the classical Byte-pair Encoding (BPE) algorithm for subword tokenization that greedily merges frequent character bigrams, often leading to segmentation that does not align with linguistically meaningful units. To address this, we propose morphology-aware segmentation as a pre-tokenization step before applying BPE. To facilitate morphology-aware segmentation, we create a novel dataset for Hindi and Marathi, incorporating sandhi splitting to enhance the subword tokenization. Experiments on downstream tasks show that morphologically grounded tokenization improves machine translation and language modeling performance. Additionally, to handle the dependent vowels common in syllable-based writing systems used by Indic languages, we propose Constrained BPE (CBPE), an extension to the standard BPE algorithm incorporating script-specific constraints. In particular, CBPE handles dependent vowels to form a cohesive unit with other characters instead of occurring as a single unit. Our results show that CBPE achieves a 1.68\% reduction in fertility scores while maintaining comparable or improved downstream performance in machine translation and language modeling, offering a computationally efficient alternative to standard BPE. Moreover, to evaluate segmentation across different tokenization algorithms, we introduce a new human evaluation metric, EvalTok, enabling more human-grounded assessment.

Benchmarks can run without determining what their results license. We freeze a large evaluation collection and attempt to replay its historical claims. Most units stop because the evidence required for replay is not bound. Where replay is possible, different claims remain stable at different resolutions. We make this otherwise implicit inference step explicit and executable.

Diffusion models have become a core paradigm for multimedia generation, offering powerful concept-driven controllability for personalization, semantic editing, and selective unlearning. However, as semantic control extends beyond natural-language prompts to learned embeddings and intervention pipelines, the safety and governance of these systems become increasingly difficult to evaluate in a unified manner, especially for safety-sensitive, identity-linked, and other privacy-relevant concepts. Existing studies mainly rely on heuristic audits, adversarial probing, or task-specific erasure benchmarks, and therefore provide limited support for systematic comparison across models, conditioning channels, and deployment conditions. We present a concept-level probabilistic audit and reporting framework for diffusion models. We formalize governance-relevant concept behaviors as Bernoulli semantic events induced by stochastic generation, and define a Concept Risk Operator that maps model-channel configurations to structured risk profiles, enabling comparison across prompting interfaces, learned embedding channels, models, and recorded conditions. We apply sample-level post-hoc calibration and configuration-level risk aggregation, and show that probability error can change thresholded actions near policy boundaries. Experiments on SD1.5, SD2.1, and SDXL reveal consistent yet non-uniform operational risk patterns across concept families, channels, recorded conditions, and shifted protocols. In particular, embedding-based access and obfuscated prompts expose risks often understated by standard-prompt evaluation. A pooled multi-protocol calibrator improves held-out probability reliability, but we do not claim transfer from a standard-only calibrator. CLRC provides a common audit schema for probabilistic and decision-aware governance of multimedia generation systems.

Subliminal learning lets a student inherit a teacher's hidden trait from distillation data that never names it. We ask when such transfer can be audited before training. The answer is not model identity or scale alone, but channel location: the carrier through which the trait reaches the student. We find three regimes. In a controlled initialization-dependent body channel, a pre-training screen works. Coverage, the cosine between the student's initial distillation update and the teacher's fine-tuning displacement, predicts held-out transfer (Spearman ρapprox 0.95; AUROC 0.997). In pretrained language models, masked single-token traits instead ride convergent vocabulary geometry. This channel is initialization-independent, so initialization-alignment screens, including coverage, are not mechanistic; the useful handles are post-hoc detection and targeted mitigation. Even when a single-token named entity is removed from the loss, the student's held-out probability for that entity rises to 0.40 on average (sim 2500times), and a related semantic class transfers. In an untied-head model, orthogonalizing the trait's output row against entangled neighbours collapses leakage, while equal-size random-subspace edits do not. Thus removing a target string from distillation labels does not remove the corresponding preference: neighbouring tokens can carry it. Finally, conditional behaviours can route through the network body. For sycophancy, with agreement and correction markers masked from the loss, transfer reaches about 0.63 of the teacher's effect, localizes to body computation, and evades four audits across two model families. We scope this as masked transfer of a condition-present policy. Channel location is necessary for deciding which audits can be sound. It is not a deployment-ready screen: an audit used outside its carrier regime can give false assurance.

Much recent research has uncovered and discussed serious concerns of bias in facial analysis technologies, finding performance disparities between groups of people based on perceived gender, skin type, lighting condition, etc. These audits are immensely important and successful at measuring algorithmic bias but have two major challenges: the audits (1) use facial recognition datasets which lack quality metadata, like LFW and CelebA, and (2) do not compare their observed algorithmic bias to the biases of their human alternatives. In this paper, we release improvements to the LFW and CelebA datasets which will enable future researchers to obtain measurements of algorithmic bias that are not tainted by major flaws in the dataset (e.g. identical images appearing in both the gallery and test set). We also use these new data to develop a series of challenging facial identification and verification questions that we administered to various algorithms and a large, balanced sample of human reviewers. We find that both computer models and human survey participants perform significantly better at the verification task, generally obtain lower accuracy rates on dark-skinned or female subjects for both tasks, and obtain higher accuracy rates when their demographics match that of the question. Computer models are observed to achieve a higher level of accuracy than the survey participants on both tasks and exhibit bias to similar degrees as the human survey participants.

We introduce MADLAD-400, a manually audited, general domain 3T token monolingual dataset based on CommonCrawl, spanning 419 languages. We discuss the limitations revealed by self-auditing MADLAD-400, and the role data auditing had in the dataset creation process. We then train and release a 10.7B-parameter multilingual machine translation model on 250 billion tokens covering over 450 languages using publicly available data, and find that it is competitive with models that are significantly larger, and report the results on different domains. In addition, we train a 8B-parameter language model, and assess the results on few-shot translation. We make the baseline models available to the research community.

Frontier LLMs are increasingly utilised across academia, society and industry. A commonly used unit for comparing models, their inputs and outputs, and estimating inference pricing is the token. In general, tokens are used as a stable currency, assumed to be broadly consistent across tokenizers and contexts, enabling direct comparisons. However, tokenization varies significantly across models and domains of text, making naive interpretation of token counts problematic. We quantify this variation by providing a comprehensive empirical analysis of tokenization, exploring the compression of sequences to tokens across different distributions of textual data. Our analysis challenges commonly held heuristics about token lengths, finding them to be overly simplistic. We hope the insights of our study add clarity and intuition toward tokenization in contemporary LLMs.

In traditional conversational intelligence from speech, a cascaded pipeline is used, involving tasks such as voice activity detection, diarization, transcription, and subsequent processing with different NLP models for tasks like semantic endpointing and named entity recognition (NER). Our paper introduces TokenVerse, a single Transducer-based model designed to handle multiple tasks. This is achieved by integrating task-specific tokens into the reference text during ASR model training, streamlining the inference and eliminating the need for separate NLP models. In addition to ASR, we conduct experiments on 3 different tasks: speaker change detection, endpointing, and NER. Our experiments on a public and a private dataset show that the proposed method improves ASR by up to 7.7% in relative WER while outperforming the cascaded pipeline approach in individual task performance. Our code is publicly available: https://github.com/idiap/tokenverse-unifying-speech-nlp

Tokenization is associated with many poorly understood shortcomings in language models (LMs), yet remains an important component for long sequence scaling purposes. This work studies how tokenization impacts model performance by analyzing and comparing the stochastic behavior of tokenized models with their byte-level, or token-free, counterparts. We discover that, even when the two models are statistically equivalent, their predictive distributions over the next byte can be substantially different, a phenomenon we term as "tokenization bias''. To fully characterize this phenomenon, we introduce the Byte-Token Representation Lemma, a framework that establishes a mapping between the learned token distribution and its equivalent byte-level distribution. From this result, we develop a next-byte sampling algorithm that eliminates tokenization bias without requiring further training or optimization. In other words, this enables zero-shot conversion of tokenized LMs into statistically equivalent token-free ones. We demonstrate its broad applicability with two use cases: fill-in-the-middle (FIM) tasks and model ensembles. In FIM tasks where input prompts may terminate mid-token, leading to out-of-distribution tokenization, our method mitigates performance degradation and achieves an approximately 18% improvement in FIM coding benchmarks, consistently outperforming the standard token healing fix. For model ensembles where each model employs a distinct vocabulary, our approach enables seamless integration, resulting in improved performance (up to 3.7%) over individual models across various standard baselines in reasoning, knowledge, and coding.

We present the KL3M tokenizers, a family of specialized tokenizers for legal, financial, and governmental text. Despite established work on tokenization, specialized tokenizers for professional domains remain understudied. Our paper offers two main contributions to this area. First, we introduce domain-specific BPE tokenizers for legal, financial, and governmental text. Our kl3m-004-128k-cased tokenizer uses 9-17% fewer tokens than GPT-4o and Llama3 for domain-specific documents, despite having a smaller vocabulary. For specialized terminology, our cased tokenizer is even more efficient, using up to 83% fewer tokens for legal terms and 39% fewer tokens for financial terms. Second, we develop character-level BPE tokenizers (4K, 8K, and 16K vocabulary sizes) for text correction tasks like OCR post-processing. These tokenizers keep consistent token boundaries between error-containing and correct text, making it easier for models to learn correction patterns. These tokenizers help professional applications by fitting more text in context windows, reducing computational needs, and preserving the meaning of domain-specific terms. Our analysis shows these efficiency gains directly benefit the processing of long legal and financial documents. We release all tokenizers and code through GitHub and Hugging Face to support further research in specialized tokenization.

Bias in textual data can lead to skewed interpretations and outcomes when the data is used. These biases could perpetuate stereotypes, discrimination, or other forms of unfair treatment. An algorithm trained on biased data may end up making decisions that disproportionately impact a certain group of people. Therefore, it is crucial to detect and remove these biases to ensure the fair and ethical use of data. To this end, we develop a comprehensive and robust framework NBIAS that consists of four main layers: data, corpus construction, model development and an evaluation layer. The dataset is constructed by collecting diverse data from various domains, including social media, healthcare, and job hiring portals. As such, we applied a transformer-based token classification model that is able to identify bias words/ phrases through a unique named entity BIAS. In the evaluation procedure, we incorporate a blend of quantitative and qualitative measures to gauge the effectiveness of our models. We achieve accuracy improvements ranging from 1% to 8% compared to baselines. We are also able to generate a robust understanding of the model functioning. The proposed approach is applicable to a variety of biases and contributes to the fair and ethical use of textual data.

Data-centric curation pipelines frequently rely on model confidence scores to flag and filter noisy or mislabeled training instances. Evaluating this filtering convention on a large-scale consumer lending sample (LendingClub, N = 1,344,936) uncovers an underlying demographic asymmetry: high-income defaulters are disproportionately classified as label noise relative to low-income defaulters (Cramer's V approximately 0.03-0.07). Re-examining this behavior through the lens of equal opportunity [Hardt et al., 2016] reveals a far more severe discrepancy: a 16.86 percentage point gap in true positive rate (recall) between high- and low-income borrowers who ultimately defaulted. Implementing a sequential feature-blinding methodology allows us to isolate the drivers of this disparity across three distinct mechanisms: (1) direct reliance on self-reported applicant income; (2) algorithmic absorption of upstream institutional bias encoded within origination interest rates; and (3) a residual disparity (3.55 percentage points in cross-validation; 2.56 percentage points on a held-out test partition, Z = -4.04, p < 0.0001) that remains even after purging both income and interest rates from the model. Out-of-sample signed SHAP valuations demonstrate that this residual gap is maintained by structural proxies, most notably loan amount and home ownership status. These empirical findings show that simply blinding an algorithm to sensitive attributes fails to ensure fairness when institutional pricing decisions and behavioral proxy variables collectively reconstruct the omitted signals. We outline the practical implications of these findings for auditing data-centric AI workflows within regulated financial institutions.

Artificial Intelligence (AI), particularly large language models (LLMs), holds the potential to bridge language and information gaps, which can benefit the economies of developing nations. However, our analysis of FLORES-200, FLORES+, Ethnologue, and World Development Indicators data reveals that these benefits largely favor English speakers. Speakers of languages in low-income and lower-middle-income countries face higher costs when using OpenAI's GPT models via APIs because of how the system processes the input -- tokenization. Around 1.5 billion people, speaking languages primarily from lower-middle-income countries, could incur costs that are 4 to 6 times higher than those faced by English speakers. Disparities in LLM performance are significant, and tokenization in models priced per token amplifies inequalities in access, cost, and utility. Moreover, using the quality of translation tasks as a proxy measure, we show that LLMs perform poorly in low-resource languages, presenting a ``double jeopardy" of higher costs and poor performance for these users. We also discuss the direct impact of fragmentation in tokenizing low-resource languages on climate. This underscores the need for fairer algorithm development to benefit all linguistic groups.

Ask a language model the same question about the same document twenty times, and it sometimes returns two different answers. We built Probity, a benchmark of 60 tasks and 470 items from real venture-financing filings, to measure how often this happens. Then we audited our own corpus and found a defect any excerpt-built benchmark can carry: items whose evidence is missing from the window of text the model is shown. The audit flags 36 items and separates two failures a single flag would conflate: evidence genuinely absent from the window and answers that must be computed from numbers the window does supply. Flagged items change their answers far more often, wobbling at 0.255 against 0.087 on the 427 clean items, and excluding them cuts apparent cross-model agreement by about a fifth. Before testing whether the missing evidence explains the instability, we registered a prediction: re-cut each window to hold its evidence, and instability should fall below a set threshold. It failed: the repair moved wobble by 0.058, with an interval containing zero. We report the association as correlational. Almost all measurements sit where instability cannot show, which bounds what a corpus built for accuracy can say about stability. We release the corpus, all 112,800 raw responses, and the audit as a runnable check for any document benchmark.

Cross-tokenizer knowledge distillation allows a student model to learn from teachers with incompatible vocabularies. Prior work operates on hidden states or logits; the latter is preferred as a drop-in replacement requiring no auxiliary components. Logit-based methods either use only the correct-token probability, missing the full 'dark knowledge' in the teacher's distribution, or operate on the full output distribution, relying on strict token partitioning and/or unprincipled heuristic ranking. We identify two key shortcomings of full-distribution, logit-based methods: (i) an uncommon-token failure, where critical tokens fall into the unmatched subset (e.g., Llama's 1100 multi-digit numerals under digit-splitting Qwen supervision) and are suppressed during training, reducing GSM8k from 12.89 to 2.56 compared to same-tokenizer KD from a weaker teacher; and (ii) over-conservative matching, where strict 1-to-1 matching excludes near-equivalent tokens across surface forms. These failures require distinct remedies: eliminating the partition when critical tokens are misaligned, and refining it when alignment is reliable. We propose X-Token, an approach with two complementary loss formulations targeting these issues. P-KL removes partitioning and aligns the student's distribution with the teacher's via a sparse projection matrix W (initialized from tokenizer-level string rules) to address the uncommon-token failure. H-KL retains the hybrid form while relaxing matching to align each student token with its top-ranked teacher mapping under W. Both objectives share W and extend naturally to multiple teachers. Empirically, on Llama-3.2-1B, X-Token outperforms the current state of the art GOLD by +3.82 average points with a Qwen3-4B teacher and by +0.5 with a Phi-4-Mini teacher. Further, a two-teacher setup (Phi-4-mini + Llama-3B) improves over single-teacher distillation by +1.3 points.

Split language models keep input text on a client but send intermediate representations to a server. Attacks can reconstruct text from these messages. Comparing privacy evaluations is difficult when attackers see different messages, know different model weights or use different datasets and recovery measures. We present LLM-Attacker, a framework that records these choices and lets researchers check, compare and extend an evaluation. Compatible attacks reuse recorded messages, and their predictions are saved for independent scoring. The scoring rule requires a linked undefended reference before a defence can pass. Reports also identify attacks that remain untested. In a controlled GPT-2 experiment, adding gradients returned during training increased token recovery from 94.20% to 97.38% and exact-document recovery from 13.71% to 37.77%. The 95% interval for the token gain lay above the two-percentage-point threshold fixed before testing. This experiment is shared with a companion study; here, it tests how the evaluation responds to a change in attacker access. Further studies measure how corpus choice and compression defences affect recovery, compare an adapted published attack with its reference implementation, and test the measurement code. The framework reports implementation checks separately from measured attack effectiveness. Each privacy claim should state the attacker, dataset and scoring rule, report its controls and identify untested attacks.

AI research agents combine prior knowledge, public sources, and experimental feedback to produce useful results. The Discovery Certification Protocol (DCP) turns claims about these results into executable recovery and feedback tests. Gate 1 validates useful improvement on sealed evaluation. Gate 2 gives matched agents the registered starting information and observed Web content while withholding the target research history. Every valid method reaching the numerical target supplies a recovery witness and triggers the Core veto. DCP Core requires adequate controls, zero observed recoveries, and a finite-sample bound on recovery in one fresh registered episode. Optional Gate 3 measures the average effect of truthful feedback relative to a specified neutral policy from a shared checkpoint. DCP Evidence adds this effect after independent null calibration and a registered effect margin. Two controlled audits exercise the complete protocol in SQLite optimization and virtual catalyst control under different models. Each produced zero recoveries in 96 episodes, with an upper bound of 0.0468. Each paired study yielded 30 truthful recoveries and zero neutral recoveries, with passing 60-pair null studies. Additional cases exercise Core, recovered, and audit-incomplete decisions. A deterministic, LLM-free verifier reproduces the decisions from frozen evidence. DCP provides a common evidence language for useful outcomes, alternative routes, and feedback effects across AI research.

Tokenization is the first - and often underappreciated - layer of computation in language models. While Chain-of-Thought (CoT) prompting enables transformer models to approximate recurrent computation by externalizing intermediate steps, we show that the success of such reasoning is fundamentally bounded by the structure of tokenized inputs. This work presents a theoretical and empirical investigation into how tokenization schemes, particularly subword-based methods like byte-pair encoding (BPE), impede symbolic computation by merging or obscuring atomic reasoning units. We introduce the notion of Token Awareness to formalize how poor token granularity disrupts logical alignment and prevents models from generalizing symbolic procedures. Through systematic evaluation on arithmetic and symbolic tasks, we demonstrate that token structure dramatically affect reasoning performance, causing failure even with CoT, while atomically-aligned formats unlock strong generalization, allowing small models (e.g., GPT-4o-mini) to outperform larger systems (e.g., o1) in structured reasoning. Our findings reveal that symbolic reasoning ability in LLMs is not purely architectural, but deeply conditioned on token-level representations.

Large Language Models (LLMs) based on transformer architectures have revolutionized a variety of domains, with tokenization playing a pivotal role in their pre-processing and fine-tuning stages. In multilingual models, particularly those tailored for Indic languages, effective tokenization is crucial for optimizing performance. This paper presents a comprehensive evaluation of tokenizers used by 12 LLMs across all 22 official languages of India, with a focus on comparing the efficiency of their tokenization processes. We employed the Normalized Sequence Length (NSL) as a key metric in our analysis. Our findings reveal that the SUTRA tokenizer outperforms all other models, including several Indic-specific models, excelling in 14 languages. Notable insights include the SUTRA tokenizer's superior handling of Indic languages, GPT-4o's advancement over its predecessor GPT-4 in processing Indian languages, and the limited performance of Project Indus in certain languages. This study underscores the critical importance of developing targeted tokenization strategies for multilingual and Indic-centric models, laying the groundwork for future improvements in tokenizer design to enhance linguistic coverage and model efficiency.

Humans are increasingly expected to interact with AI systems that observe and make inferences about them - but do these systems actually work? A standard approach to answering this question is AI auditing. Conducting an AI audit requires identifying how a system behaves (i.e., determining what types of inputs to audit it with and then observing and documenting actual system behavior) and contrasting that with how a system should behave (i.e., determining what the nominal outputs of a system should look like). We argue that this is best done through a contextual audit, which we introduce as a method for auditing measurements within the context of the practices that produce them. We show how contextual auditing enables the interrogation of assumptions implicit in the audit process and allows auditors to be explicit about what serves as ground truth, which we define as verifiable measurements about the real world against which systems are evaluated. We outline how the concept of symmetry from science and technology studies can enable audits when ground truth is unknown, unknowable, or contested. Finally, to demonstrate how contextual and symmetric audits can be conducted in practice, we present a case study of skeleton inference in motion capture and propose areas suggested by our case study as particularly fruitful for future audits of motion capture systems.

Randomized controlled trials (RCTs) are the benchmark for causal inference, yet field implementation can deviate. We here present a remote audit - a design-based, preregistrable diagnostic that uses only pre-treatment satellite imagery to test whether assignment is independent of local conditions. The conditional randomization test of the remote audit evaluates whether treatment assignment is more predictable from pre-treatment satellite features than expected under the experiment's registered mechanism, providing a finite-sample valid, design-based diagnostic that requires no parametric assumptions. The procedure is finite-sample valid, honors blocks and clusters, and controls multiplicity across image models and resolutions via a max-statistic. We illustrate with two RCTs: Uganda's Youth Opportunities Program, where the audit corroborates randomization and flags selection and missing-data risks; and a school-based trial in Bangladesh, where assignment is highly predictable from pre-treatment features relative to the stated design, consistent with independent concerns about irregularities. Remote audits complement balance tests, lower early-stage costs, and enable rapid design checks when baseline surveys are expensive or infeasible.

Large language models (LLMs) are increasingly being used to extract structured knowledge from unstructured financial text. Although prior studies have explored various extraction methods, there is no universal benchmark or unified evaluation framework for the construction of financial knowledge graphs (KG). We introduce FinReflectKG - EvalBench, a benchmark and evaluation framework for KG extraction from SEC 10-K filings. Building on the agentic and holistic evaluation principles of FinReflectKG - a financial KG linking audited triples to source chunks from S&P 100 filings and supporting single-pass, multi-pass, and reflection-agent-based extraction modes - EvalBench implements a deterministic commit-then-justify judging protocol with explicit bias controls, mitigating position effects, leniency, verbosity and world-knowledge reliance. Each candidate triple is evaluated with binary judgments of faithfulness, precision, and relevance, while comprehensiveness is assessed on a three-level ordinal scale (good, partial, bad) at the chunk level. Our findings suggest that, when equipped with explicit bias controls, LLM-as-Judge protocols provide a reliable and cost-efficient alternative to human annotation, while also enabling structured error analysis. Reflection-based extraction emerges as the superior approach, achieving best performance in comprehensiveness, precision, and relevance, while single-pass extraction maintains the highest faithfulness. By aggregating these complementary dimensions, FinReflectKG - EvalBench enables fine-grained benchmarking and bias-aware evaluation, advancing transparency and governance in financial AI applications.

Investment Analysis is a cornerstone of the Financial Services industry. The rapid integration of advanced machine learning techniques, particularly Large Language Models (LLMs), offers opportunities to enhance the equity rating process. This paper explores the application of LLMs to generate multi-horizon stock ratings by ingesting diverse datasets. Traditional stock rating methods rely heavily on the expertise of financial analysts, and face several challenges such as data overload, inconsistencies in filings, and delayed reactions to market events. Our study addresses these issues by leveraging LLMs to improve the accuracy and consistency of stock ratings. Additionally, we assess the efficacy of using different data modalities with LLMs for the financial domain. We utilize varied datasets comprising fundamental financial, market, and news data from January 2022 to June 2024, along with GPT-4-32k (v0613) (with a training cutoff in Sep. 2021 to prevent information leakage). Our results show that our benchmark method outperforms traditional stock rating methods when assessed by forward returns, specially when incorporating financial fundamentals. While integrating news data improves short-term performance, substituting detailed news summaries with sentiment scores reduces token use without loss of performance. In many cases, omitting news data entirely enhances performance by reducing bias. Our research shows that LLMs can be leveraged to effectively utilize large amounts of multimodal financial data, as showcased by their effectiveness at the stock rating prediction task. Our work provides a reproducible and efficient framework for generating accurate stock ratings, serving as a cost-effective alternative to traditional methods. Future work will extend to longer timeframes, incorporate diverse data, and utilize newer models for enhanced insights.

Automatic speech recognition (ASR) systems are commonly evaluated with word error rate (WER), yet many voice workflows depend on exact written values for identifiers, paths, and measured quantities. A transcript can appear fluent and achieve low WER while corrupting a value that a downstream system must parse, store, or execute. We introduce VoiceCodeBench, a benchmark for evaluating exact structured-token recovery in English ASR. It contains 300 human-recorded workplace segments spanning eight workflow domains and 1,482 audited target entities across 26 entity types, each with a canonical written form recoverable from the audio. Under a raw-audio-only protocol, systems receive audio bytes without additional context or metadata. Alongside WER, we evaluate Canonical Token/Entity Match (CTEM), Task Success Rate (TSR), and per-type exact recovery. Across 12 baseline ASR systems, lower WER generally corresponded to better structured-token recovery but did not fully determine it: Spearman correlations were -0.73 for both WER versus CTEM and WER versus TSR. The strongest baseline by TSR reached only 68.7%, leaving nearly one third of recordings with at least one unrecovered workflow-critical value. These results show that entity-sensitive metrics are needed to assess whether ASR output preserves exact values that production systems must parse, route, store, compare, or execute.

The pretraining data of today's strongest language models is opaque. In particular, little is known about the proportions of various domains or languages represented. In this work, we tackle a task which we call data mixture inference, which aims to uncover the distributional make-up of training data. We introduce a novel attack based on a previously overlooked source of information -- byte-pair encoding (BPE) tokenizers, used by the vast majority of modern language models. Our key insight is that the ordered list of merge rules learned by a BPE tokenizer naturally reveals information about the token frequencies in its training data: the first merge is the most common byte pair, the second is the most common pair after merging the first token, and so on. Given a tokenizer's merge list along with data samples for each category of interest, we formulate a linear program that solves for the proportion of each category in the tokenizer's training set. Importantly, to the extent to which tokenizer training data is representative of the pretraining data, we indirectly learn about the pretraining data. In controlled experiments, we show that our attack recovers mixture ratios with high precision for tokenizers trained on known mixtures of natural languages, programming languages, and data sources. We then apply our approach to off-the-shelf tokenizers released with recent LMs. We confirm much publicly disclosed information about these models, and also make several new inferences: GPT-4o's tokenizer is much more multilingual than its predecessors, training on 39% non-English data; Llama3 extends GPT-3.5's tokenizer primarily for multilingual (48%) use; GPT-3.5's and Claude's tokenizers are trained on predominantly code (~60%). We hope our work sheds light on current design practices for pretraining data, and inspires continued research into data mixture inference for LMs.

Pretrained language models (LLMs) are often constrained by their fixed tokenization schemes, leading to inefficiencies and performance limitations, particularly for multilingual or specialized applications. This tokenizer lock-in presents significant challenges. standard methods to overcome this often require prohibitive computational resources. Although tokenizer replacement with heuristic initialization aims to reduce this burden, existing methods often require exhaustive residual fine-tuning and still may not fully preserve semantic nuances or adequately address the underlying compression inefficiencies. Our framework introduces two innovations: first, Tokenadapt, a model-agnostic tokenizer transplantation method, and second, novel pre-tokenization learning for multi-word Supertokens to enhance compression and reduce fragmentation. Tokenadapt initializes new unique token embeddings via a hybrid heuristic that combines two methods: a local estimate based on subword decomposition using the old tokenizer, and a global estimate utilizing the top-k semantically similar tokens from the original vocabulary. This methodology aims to preserve semantics while significantly minimizing retraining requirements. Empirical investigations validate both contributions: the transplantation heuristic successfully initializes unique tokens, markedly outperforming conventional baselines and sophisticated methods including Transtokenizer and ReTok, while our Supertokens achieve notable compression gains. Our zero-shot perplexity results demonstrate that the TokenAdapt hybrid initialization consistently yields lower perplexity ratios compared to both ReTok and TransTokenizer baselines across different base models and newly trained target tokenizers. TokenAdapt typically reduced the overall perplexity ratio significantly compared to ReTok, yielding at least a 2-fold improvement in these aggregate scores.

Tokenization is a critical preprocessing step for large language models (LLMs), directly impacting training efficiency and downstream performance. General-purpose tokenizers trained predominantly on English and Latin-script languages exhibit suboptimal performance on morphologically rich languages such as Arabic, resulting in inflated token sequences and reduced compression efficiency. In this work, we present AraToken, an Arabic-optimized tokenizer built on SentencePiece Unigram algorithm with a comprehensive normalization pipeline addressing Arabic-specific orthographic variations including Alif variants, diacritics, and Arabic-Indic numerals. We systematically compare BPE, WordPiece, and SentencePiece algorithms across multiple configurations, demonstrating that SentencePiece with normalization achieves 18% lower fertility (1.199 vs 1.35 tokens/word) compared to unnormalized baselines. Furthermore, we introduce the Language Extension Pipeline (LEP), a method for integrating the optimized tokenizer into Qwen3-0.6B through vocabulary extension with mean subtoken initialization and selective transformer layer unfreezing. Our experiments show that LEP reduces evaluation loss from 8.28 to 2.43 within 800 training steps on 100K Arabic samples. We release our tokenizer, training scripts, and model checkpoints to facilitate Arabic NLP research.

When a large language model (LLM) agent executes the same task, token consumption can vary by over an order of magnitude across runs. The agent chooses its next steps based on tool feedback and intermediate results, while the growing context steadily inflates the input size of every subsequent call. The total consumption of a task is therefore hard to predict before execution and the prediction must be revised as the run unfolds. In this paper, we propose TokenCast, which learns a composable cost representation for each execution segment, recording its own consumption and the context growth it introduces. Composing adjacent segments yields a cumulative estimate that captures the extra input cost incurred when context from earlier segments is re-read by every later call. As execution unfolds, newly observed evidence refreshes the forecast, requiring no additional LLM calls and incurring a mean cumulative prediction time of 32.8 ms per run on SWE-bench Verified. Across 4 task suites and 6 agent models, TokenCast's mean absolute error reduction against the strongest comparator averages 14.5% over 96 evaluated combinations. In offline budget-control replay, TokenCast uses 21.3% fewer tokens on average than a fixed-budget policy at matched trace completion. The code is available at https://github.com/DEFENSE-SEU/TokenCast.

The past year has seen over 20 open-source document parsing models, yet thefield still benchmarks almost exclusively on OmniDocBench, a 1,355-pagemanually annotated dataset whose top scores have saturated above 90%. Athree-stage audit pipeline we run on OmniDocBench screens its 21,353evaluator-scored blocks and confirms 2,580 errors (12.08%); combined with overa year of public availability, both annotation quality and contamination riskcall its rankings into question. To address these issues, we presentPureDocBench, a programmatically generated, source-traceable benchmark thatrenders document images from HTML/CSS and produces verifiable annotations fromthe same source, covering 10 domains, 66 subcategories, and 1,475 pages, eachin three versions: clean, digitally degraded, and real-degraded (4,425 imagestotal). Evaluating 40 models spanning pipeline specialists, end-to-endspecialists, and general-purpose VLMs, we find: (i) document parsing is farfrom solved: the best model scores only ~74 out of 100, with a 44.6-point gapbetween the strongest and weakest models; (ii) specialist parsers with <=4Bparameters rival or surpass general VLMs that are 5-100x larger, yet formularecognition remains a shared bottleneck where no model exceeds 67% whenaveraging the formula metric across all three tracks; (iii) general VLMs loseonly 0.99/8.52 Overall points under digital/real degradation versus 4.90/14.21for pipeline specialists, producing ranking reversals that make clean-onlyevaluation misleading for deployment. All data, code, and artifacts arepublicly released.

We introduce Crypto Accounting Bench (CAB), a benchmark for assessing whether frontier and open-weight language models can reconstruct the complete journal entry that an organization actually posted for a crypto-asset transaction. CAB contains 118 evaluation tasks drawn from 7 pseudonymized organizations. Each task combines transaction mechanics, asset quantities and base-currency values, wallet and legal-entity context, counterparty evidence, related transaction legs, recurrence, tax-lot evidence, and the organization's complete chart of accounts. The target is a balanced structured entry with every required account, side, amount, currency, and full-precision asset quantity. We evaluate 12 models spanning proprietary frontier systems and open-weight releases over 3 independent attempts per task, producing 4,248 trajectories. We report 3 metrics: Mean Score, Best@3, and Pass@3. Pass@3 is the fraction of tasks with at least 1 of 3 attempts that satisfies every rubric criterion and required gate. The leading model reaches 77.43% Mean Score, while the best Pass@3 is 56.78%. Deterministic diagnostics, read from each task's best of 3 attempts and macro-averaged across the 12 models, show higher base-amount agreement (97.8%) than deciding-account accuracy (56.3%). Together with the failure analysis, these results identify account selection and complete-entry composition as the main remaining challenges on CAB.

Commercial large language models bill, scale latency, and budget context per token. Yet tokenizers assign more subword tokens to the same meaning in some languages than in others, so speakers of languages with high token-fertility pay a structural penalty before a model is ever invoked. This penalty is documented for multilingual settings in general, but it has not been measured systematically for African languages at the level of enterprise deployment economics and cognitive context capacity. We measure it across 20 African languages spanning five language families and three scripts (Latin, Ge'ez/Ethiopic, N'Ko; 19 appear in the primary FLORES-200+ corpus, with Nigerian Pidgin measured via MAFAND-MT only), using parallel corpora so that the language effect is isolated from content. Across 11 frontier and open tokenizers on FLORES-200+, every African language carries a tokenization premium above English (median 1.88x on GPT-5 / o200k_base, up to 8.92x for N'Ko); the penalty is largest for Ethiopic and N'Ko scripts (reaching 7-9x) and is near-invariant across corpora (FLORES vs SIB-200 Pearson r = 0.9998). Translated into deployment terms, this results in up to 8.9x inference cost and an equivalent generation-latency multiplier (N'Ko vs English on GPT-5; 7.4x for Amharic), and as little as 11% of English's effective context window. The best currently available tokenizer for African languages, Gemma 4, reduces the mean premium from 3.31x (cl100k_base) to 2.38x, but no tokenizer eliminates the penalty. We release an open measurement tool (afri-fertility), a public leaderboard, a results dataset, and mitigation guidance for African builders. The penalty falls hardest on the languages whose speakers can least afford it, a digital divide encoded directly into the subword vocabulary.

As various forms of fraud proliferate on Ethereum, it is imperative to safeguard against these malicious activities to protect susceptible users from being victimized. While current studies solely rely on graph-based fraud detection approaches, it is argued that they may not be well-suited for dealing with highly repetitive, skew-distributed and heterogeneous Ethereum transactions. To address these challenges, we propose BERT4ETH, a universal pre-trained Transformer encoder that serves as an account representation extractor for detecting various fraud behaviors on Ethereum. BERT4ETH features the superior modeling capability of Transformer to capture the dynamic sequential patterns inherent in Ethereum transactions, and addresses the challenges of pre-training a BERT model for Ethereum with three practical and effective strategies, namely repetitiveness reduction, skew alleviation and heterogeneity modeling. Our empirical evaluation demonstrates that BERT4ETH outperforms state-of-the-art methods with significant enhancements in terms of the phishing account detection and de-anonymization tasks. The code for BERT4ETH is available at: https://github.com/git-disl/BERT4ETH.

Audit logs are one of the most important tools for transparently tracking system events and maintaining continuous oversight in corporate organizations and enterprise business systems. There are many cases where the audit logs contain sensitive data, or the audit logs are enormous. In these situations, dealing with a subset of the data is more practical than the entire data set. To provide a secure solution to handle these issues, a sanitizable signature scheme (SSS) is a viable cryptographic primitive. Herein, we first present the first post-quantum secure multivariate-based SSS, namely Mul-SAN. Our proposed design provides unforgeability, privacy, immutability, signer accountability, and sanitizer accountability under the assumption that the MQ problem is NP-hard. Mul-SAN is very efficient and only requires computing field multiplications and additions over a finite field for its implementation. Mul-SAN presents itself as a practical method to partially delegate control of the authenticated data in avenues like the healthcare industry and government organizations. We also explore using Blockchain to provide a tamper-proof and robust audit log mechanism.

The number of tokens it takes to encode parallel text in different languages is known to vary. These disparities are called token premiums. Having high token premiums leads to less throughput during training and increases costs at inference. In this paper, we show that even after controlling for dataset size, vocabulary size, and data content, monolingual tokenizers exhibit a wide range of token premiums across languages. To understand the cross-linguistic differences that cause these token premiums, we train a suite of approximately 7,000 comparable monolingual tokenizers for 97 languages, manipulating tokenization algorithm, vocabulary size, and dataset size. We measure token premiums and test for a relationship between factors such as data similarity (between tokenizer training and evaluation), vocabulary size, and pre-tokenization. We also investigate the role of language-specific features such as writing system and word length. We find that similarity between training and test data does not impact token premiums, but vocabulary size and pre-tokenization do. While simply increasing vocabulary size does not lead to reduced token premium effects, we can determine an ``optimal'' vocabulary size for each language to achieve significantly reduced token premium effects. We also train superword tokenizers which allow merges over whitespaces, and we find that they both reduce token premium effects and improve compression overall. Thus, intervening on the vocabulary size or the pre-tokenizer significantly reduces crosslingual token premium effects.

Recent advances have demonstrated that integrating reinforcement learning with rule-based rewards can significantly enhance the reasoning capabilities of large language models, even without supervised fine-tuning. However, prevalent reinforcement learning algorithms such as GRPO and its variants like DAPO, suffer from a coarse granularity issue when computing the advantage. Specifically, they compute rollout-level advantages that assign identical values to every token within a sequence, failing to capture token-specific contributions and hindering effective learning. To address this limitation, we propose Key-token Advantage Estimation (KTAE) - a novel algorithm that estimates fine-grained, token-level advantages without introducing additional models. KTAE leverages the correctness of sampled rollouts and applies statistical analysis to quantify the importance of individual tokens within a sequence to the final outcome. This quantified token-level importance is then combined with the rollout-level advantage to obtain a more fine-grained token-level advantage estimation. Empirical results show that models trained with GRPO+KTAE and DAPO+KTAE outperform baseline methods across five mathematical reasoning benchmarks. Notably, they achieve higher accuracy with shorter responses and even surpass R1-Distill-Qwen-1.5B using the same base model.

Accurate and transparent financial information disclosure is essential in accounting and finance, fostering trust and enabling informed investment decisions that drive economic development. Among many information disclosure platforms, the Chinese stock exchanges' investor interactive platform provides a novel and interactive way for listed firms to disclose information of interest to investors through an online question-and-answer (Q&A) format. However, it is common for listed firms to respond to questions with limited or no substantive information, and automatically evaluating the quality of financial information disclosure on large amounts of Q&A pairs is challenging. In this study, our interdisciplinary team of AI and finance professionals proposed FinTruthQA, a benchmark designed to evaluate advanced natural language processing (NLP) techniques for the automatic quality assessment of information disclosure in financial Q&A data. It comprises 6,000 real-world financial Q&A entries and each Q&A was manually annotated based on four key evaluation criteria. We benchmarked various NLP techniques on FinTruthQA, including large language models(LLMs). Experiments showed that existing NLP models have strong predictive ability for question identification and question relevance tasks, but are suboptimal for answer readability and answer relevance tasks. By establishing this benchmark, we provide a robust foundation for the automatic evaluation of information disclosure, demonstrating how AI can be leveraged for social good by promoting transparency, fairness, and investor protection in financial disclosure practices. FinTruthQA can be used by auditors, regulators, and financial analysts for real-time monitoring and data-driven decision-making, as well as by researchers for advanced studies in accounting and finance, ultimately fostering greater trust and efficiency in the financial markets.

Data collected from the real world tends to be biased, unbalanced, and at risk of exposing sensitive and private information. This reality has given rise to the idea of creating synthetic datasets to alleviate risk, bias, harm, and privacy concerns inherent in the real data. This concept relies on Generative AI models to produce unbiased, privacy-preserving synthetic data while being true to the real data. In this new paradigm, how can we tell if this approach delivers on its promises? We present an auditing framework that offers a holistic assessment of synthetic datasets and AI models trained on them, centered around bias and discrimination prevention, fidelity to the real data, utility, robustness, and privacy preservation. We showcase our framework by auditing multiple generative models on diverse use cases, including education, healthcare, banking, human resources, and across different modalities, from tabular, to time-series, to natural language. Our use cases demonstrate the importance of a holistic assessment in order to ensure compliance with socio-technical safeguards that regulators and policymakers are increasingly enforcing. For this purpose, we introduce the trust index that ranks multiple synthetic datasets based on their prescribed safeguards and their desired trade-offs. Moreover, we devise a trust-index-driven model selection and cross-validation procedure via auditing in the training loop that we showcase on a class of transformer models that we dub TrustFormers, across different modalities. This trust-driven model selection allows for controllable trust trade-offs in the resulting synthetic data. We instrument our auditing framework with workflows that connect different stakeholders from model development to audit and certification via a synthetic data auditing report.

Visual inputs in vision-language models (VLMs) are often encoded into substantially longer token sequences than text, making visual tokens a major bottleneck for efficient inference. Abundant recent methods address this bottleneck by scoring token importance and pruning low-scoring tokens in a single pass. However, one-shot scoring is insufficient because a token's prompt-relevant usefulness depends on the evidence already retained. Motivated by this insight, we introduce DIVE (Dynamic Iterative Visual Evidence Construction), a training-free framework that recasts visual-token pruning as dynamic evidence construction. DIVE repeatedly selects the remaining token with the highest residual-conditioned score, updates the visual and prompt residuals to discount the evidence already explained, and re-evaluates the remaining tokens. This select-update-re-evaluate process builds a retained set of complementary, prompt-relevant evidence. Experiments across eight image-understanding benchmarks show that DIVE consistently preserves performance across token budgets. With an 88.9% reduction in visual tokens, DIVE retains 98.2% of the uncompressed model's average performance. Code is available at https://github.com/Zhong-Chenchen/DIVE.git.

Current language models (LMs) use a fixed, static subword tokenizer. This choice, often taken for granted, typically results in degraded efficiency and capabilities in languages other than English, and makes it challenging to apply LMs to new domains or languages. To address these issues, we propose retrofitting LMs with dynamic tokenization: a way to dynamically decide on token boundaries based on the input text. For encoder-style models, we introduce a subword-merging algorithm inspired by byte-pair encoding (BPE), but at a batch level. We merge frequent subword sequences in a batch, then apply a pretrained embedding-prediction hypernetwork to compute the token embeddings on-the-fly. When applied with word-level boundaries, this on average reduces token sequence lengths by >20% across 14 languages on XNLI with XLM-R while degrading its task performance by less than 2%. For decoder-style models, we apply dynamic tokenization in two ways: 1) for prefilling, maintaining performance of Mistral-7B almost completely with up to 40% sequence reduction - relative to the word-level; and 2) via an approximate nearest neighbor index, achieving fast generation with a one million token vocabulary, demonstrating scalability to even larger, dynamic vocabularies. Overall, our findings show that dynamic tokenization substantially improves inference speed and promotes fairness across languages, making a leap towards overcoming the limitations of static tokenization and enabling more equitable and adaptable LMs.

As high-quality public web corpora become increasingly exhausted, clean long-context documents have become a scarce and expensive source of training data for large language models (LLMs). Existing long-context corpora are often proprietary and costly to acquire, synthetically generated, or concentrated in narrow domains such as programming. We introduce the Stanford EDGAR Filings Dataset (SEFD), an open reconstruction of SEC filings into layout-faithful MultiMarkdown for financial language modeling and evaluation. SEFD makes audited financial statements, risk disclosures, ownership reports, accounting notes, and market-moving event filings usable as long-context pretraining data and as a basis for financial reasoning, forecasting, compliance, and document understanding. The resulting corpus is token-efficient, model-ready, and has less than 0.1% overlap with Common Crawl-derived corpora. We release SEFD-v1, a 152B-token initial public snapshot, and provide corpus-level analyses of a larger 18.5M-filing archive estimated at 550B tokens. We further introduce two SEFD-derived benchmarks: EDGAR-Forecast, which evaluates filing-grounded numerical forecasting after model knowledge cutoffs, and EDGAR-OCR, which evaluates transcription of complex financial tables.

A paraphrase-quality audit of MathCheck (ICLR 2025) detected 4 semantically incorrect paraphrases in 129 groups (3.1%); removing them drops GPT-4o from rank 2 to rank 4 and elevates Claude Haiku and DeepSeek V3 above it; these ranking changes are invisible to any single-model evaluation. Cross-model unanimity found these errors automatically (>= 3/4 models for MathCheck; >= 6/9 for our primary evaluation) for under $10; in our own dataset the same protocol found that 47% of auto-generated connective-variation paraphrases were semantically incorrect. That flaw compounds a deeper measurement gap: Claude Haiku 4.5 achieves 86% accuracy yet SCR=50%, meaning half its theorems are answered differently under semantically equivalent restatements, while aggregate accuracy across 9 models spans only 86-96% yet Semantic Consistency Rates (SCR) span 50-82% -- a 32-point gap invisible to standard benchmarks. Formally, for any target ranking over 9 frontier models there exists a weighting over paraphrase families that realizes it (No-Free-Benchmark corollary), because no model Pareto-dominates all families -- so benchmark designers who select families are implicitly choosing which model wins. FormInv supplies the audit protocol (replicated on external benchmarks at 100% recall), SCR and per-theorem Cochran's Q as primary invariance measures evaluated on 9 models across 366-811 items (on Lean4-verified theorems), and FormInvSelector for regime-aware model selection.

Multi-hop reasoning over financial disclosures is often a retrieval problem before it becomes a reasoning or generation problem: relevant facts are dispersed across sections, filings, companies, and years, and LLMs often expend excessive tokens navigating noisy context. Without precise Knowledge Graph (KG)-guided selection of relevant context, even strong reasoning models either fail to answer or consume excessive tokens, whereas KG-linked evidence enables models to focus their reasoning on composing already retrieved facts. We present FinReflectKG - MultiHop, a benchmark built on FinReflectKG, a temporally indexed financial KG that links audited triples to source chunks from S&P 100 filings (2022-2024). Mining frequent 2-3 hop subgraph patterns across sectors (via GICS taxonomy), we generate financial analyst style questions with exact supporting evidence from the KG. A two-phase pipeline first creates QA pairs via pattern-specific prompts, followed by a multi-criteria quality control evaluation to ensure QA validity. We then evaluate three controlled retrieval scenarios: (S1) precise KG-linked paths; (S2) text-only page windows centered on relevant text spans; and (S3) relevant page windows with randomizations and distractors. Across both reasoning and non-reasoning models, KG-guided precise retrieval yields substantial gains on the FinReflectKG - MultiHop QA benchmark dataset, boosting correctness scores by approximately 24 percent while reducing token utilization by approximately 84.5 percent compared to the page window setting, which reflects the traditional vector retrieval paradigm. Spanning intra-document, inter-year, and cross-company scopes, our work underscores the pivotal role of knowledge graphs in efficiently connecting evidence for multi-hop financial QA. We also release a curated subset of the benchmark (555 QA Pairs) to catalyze further research.

We study behavioral alignment and representation dynamics of large language model (LLM) agents in financial decision environments. TradeArena, an auditable trading-agent testbed with risk reports, execution simulation, memory, and replayable trajectories, lets us analyze how rationales, positions, and interventions evolve under market stress. Code and data artifacts are available through the https://github.com/weich97/TradeArena.git{TradeArena repository}. We find pre-failure signatures: planning embeddings drift from normal centroids, fused plan-risk representations separate normal from pre-drawdown states, and local manifolds exhibit effective-rank contraction. Across 80 rolling failure anchors and eight LLM trajectories, this pattern persists across hash, LSA, Transformer, and white-box hidden-state probes. Stress tests with CoT-free target weights, lexical controls, OHLCV noise, and false audits show that rationale-level contraction can vanish without rationales, while intent-space and fused signatures remain informative. Structured risk feedback can act as an external alignment signal without fine-tuning, but not as a universal performance enhancer: true audit feedback improves calibration for some models, returns for others, and exposes cases where placebo or hidden feedback has higher short-horizon return but weaker alignment diagnostics. A 51-stock intraday experiment reveals a correlation blind spot: LLM rationales justify exposure to coupled assets that the risk layer clips. Finally, a financial-audit task suite shifts comparison from ``which model trades best'' to whether models can audit trajectories, respect execution boundaries, reproduce artifacts, and avoid claim overreach. These results support a research claim, not a profitability claim: auditable risk feedback and representation trajectories reveal when LLM financial reasoning is aligning, drifting, or failing.

Comparing financial disclosures across languages requires identifying shared accounting concepts and recovering all numerical facts that express them. Existing benchmarks evaluate aspects of these capabilities, but provide limited insight into whether both succeed on the same multilingual evidence. In particular, it remains unclear whether language models can recognize these concepts across languages and exhaustively recover their corresponding numerical evidence from the same contexts. We introduce MULTIFINGROUND, a benchmark designed to investigate this recognition-grounding gap in multilingual financial reports. Constructed from FY2025 disclosures of 90 issuers in English, French, and Greek, MULTIFINGROUND aligns independently authored reports through a shared accounting taxonomy and provides traceable fact-level annotations. The benchmark evaluates financial fact identification, concept recognition, exhaustive fact selection, and concept discrimination without candidate labels. Across 15 evaluated models, eight API and open-weight reference models achieve 97.3-99.4\% concept recognition accuracy, yet miss at least one target fact in 26.6-41.9\% of correctly recognized groups. Further analyses reveal substantial variation in concept discrimination and limited gains from the evaluated finance-specialized models. Our findings demonstrate that strong concept recognition can coexist with incomplete evidence recovery, highlighting the importance of evaluating semantic recognition and evidence completeness together.

Current Large Language Models (LLMs) mostly use BPE (Byte Pair Encoding) based tokenizers, which are very effective for simple structured Latin scripts such as English. However, standard BPE tokenizers struggle to process complex Abugida scripts due to their structural complexity. The problem is that these tokenizers break complex conjuncts, which are multi-codepoint grapheme clusters, into meaningless sub-character units. This degrades the LLM's reasoning efficiency by forcing it to learn basic orthographic structures at inference time and raises inference costs, resulting in a significant "Token Tax" for the Global South. We propose a new three-layer architecture, the WWHO (Where-What-How Often), and an algorithm named SGPE (Syllable-aware Grapheme Pair Encoding) that separates the linguistic rules of the script from the statistical compression process while enabling seamless multilingual tokenization. Using Sinhala and Devanagari (Hindi/Sanskrit) as highly complex Abugida scripts, we trained WWHO on a cleaned 30-million-sentence dataset and evaluated on a 1,499,950-sentence test set. For Sinhala, SGPE achieves a Token to Word Ratio (TWR) of 1.274 with 4.83 characters per token, representing a 61.7 percent reduction in tokens compared to OpenAI's o200k base. For Hindi, it achieves a TWR of 1.181 (27.0 percent reduction vs o200k). On the mixed-script (Sinhala, Devanagari, and English) dataset, SGPE achieves an overall TWR of 1.240, representing token reductions of 36.7 percent, 39.6 percent, and 60.2 percent relative to o200k base, Llama 4 Scout, and DeepSeek V3, respectively. This effectively extends the usable context window by up to 4.38 times for these Abugida languages while ensuring a Linguistic Zero-Breakage Guarantee, which ensures that no valid syllable is ever split across multiple tokens.

Reliable deployment of LLM-based multi-agent systems calls for runtime auditors that predict terminal outcomes from observed execution prefixes. These auditors typically learn from a limited corpus of trajectories with verified outcomes. Expanding this corpus requires costly execution and verification, yet broader failure coverage alone provides no explicit criterion for identifying prefixes that the current auditor finds difficult to classify. To this end, we propose Dream2Discern, a runtime auditor trained through implicit augmentation guided by its own prediction loss. During Dream, we select perturbations of the auditor's representation operators to increase prediction loss on recorded prefixes, yielding hard latent variants. During Discern, the auditor learns to predict execution outcomes from these variants using the original labels. The variants are regenerated as the auditor learns, turning a limited corpus into a renewable source of hard examples and requiring no additional trajectory collection or outcome verification. Extensive evaluations on AFTraj-2K and StepShield show that Dream2Discern outperforms competitive failure auditors and achieves over 90% trajectory-level weighted accuracy on both benchmarks while balancing prediction accuracy and timeliness. Project page: https://zbox1005.github.io/dream2discern-project/

Speculative Decoding (SD) accelerates large language model inference by employing a small draft model to generate predictions, which are then verified by a larger target model. The effectiveness of SD hinges on the alignment between these models, which is typically enhanced by Knowledge Distillation (KD). However, conventional KD methods aim to minimize the KL divergence between the draft and target models across all tokens, a goal that is misaligned with the true objective of SD, which is to maximize token acceptance rate. Therefore, draft models often struggle to fully assimilate the target model's knowledge due to capacity constraints, leading to suboptimal performance. To address this challenge, we propose AdaSPEC, a novel method that incorporates selective token filtering into the KD process. AdaSPEC utilizes a reference model to identify and filter out difficult-to-fit tokens, enabling the distillation of a draft model that better aligns with the target model on simpler tokens. This approach improves the overall token acceptance rate without compromising generation quality. We evaluate AdaSPEC across diverse tasks, including arithmetic reasoning, instruction-following, coding, and summarization, using model configurations of 31M/1.4B and 350M/2.7B parameters. Our results demonstrate that AdaSPEC consistently outperforms the state-of-the-art DistillSpec method, achieving higher acceptance rates across all tasks (up to 15\%). The code is publicly available at https://github.com/yuezhouhu/adaspec.

The proliferation of artificial intelligence (AI) in financial services has prompted growing demand for tools that can systematically detect AI-related disclosures in corporate filings. While prior approaches often rely on keyword expansion or document-level classification, they fall short in granularity, interpretability, and robustness. This study introduces FinAI-BERT, a domain-adapted transformer-based language model designed to classify AI-related content at the sentence level within financial texts. The model was fine-tuned on a manually curated and balanced dataset of 1,586 sentences drawn from 669 annual reports of U.S. banks (2015 to 2023). FinAI-BERT achieved near-perfect classification performance (accuracy of 99.37 percent, F1 score of 0.993), outperforming traditional baselines such as Logistic Regression, Naive Bayes, Random Forest, and XGBoost. Interpretability was ensured through SHAP-based token attribution, while bias analysis and robustness checks confirmed the model's stability across sentence lengths, adversarial inputs, and temporal samples. Theoretically, the study advances financial NLP by operationalizing fine-grained, theme-specific classification using transformer architectures. Practically, it offers a scalable, transparent solution for analysts, regulators, and scholars seeking to monitor the diffusion and framing of AI across financial institutions.

Auditing unwanted social bias in language models (LMs) is inherently hard due to the multidisciplinary nature of the work. In addition, the rapid evolution of LMs can make benchmarks irrelevant in no time. Bias auditing is further complicated by LM brittleness: when a presumably biased outcome is observed, is it due to model bias or model brittleness? We propose enlisting the models themselves to help construct bias auditing datasets that remain challenging, and introduce bias measures that distinguish between types of model errors. First, we extend an existing bias benchmark for NLI (BBNLI) using a combination of LM-generated lexical variations, adversarial filtering, and human validation. We demonstrate that the newly created dataset (BBNLInext) is more challenging than BBNLI: on average, BBNLI-next reduces the accuracy of state-of-the-art NLI models from 95.3%, as observed by BBNLI, to 58.6%. Second, we employ BBNLI-next to showcase the interplay between robustness and bias, and the subtlety in differentiating between the two. Third, we point out shortcomings in current bias scores used in the literature and propose bias measures that take into account pro-/anti-stereotype bias and model brittleness. We will publicly release the BBNLI-next dataset to inspire research on rapidly expanding benchmarks to keep up with model evolution, along with research on the robustness-bias interplay in bias auditing. Note: This paper contains offensive text examples.