Ok...response from the dev who did the work. I was a bit mistaken but here are his copied words.
" well it wasn;t actually a ROM malware it was the seller installing their own version of Android, which would reinstall their browser and would not let you change the browser, this browser had a hard coded home page which it forced you too, and it was a home page basically that sells you stuff.
if you stopped their browser from getting installed, then the tablet went into a demo mode and displayed huge DEMO text across the whole screen. Eventually I was able to replace several Android core system modules which removed their check that their browser was active.
and yea I could see it phoning home whenever it was turned on."
I know I have this device in a box. If anyone would like to analyze it and see if there was more/less than what we found I am willing to send it to someone in the US via ground shipping (LIPO batteries). I believe it was not charging the last time I used it though.