Here are the questions you asked and reply to follow:
Does the Smartware software/HW verify the backup data? Can verify be forced on/off?
Answer: There is a process that runs behind the scenes to verify during the backup and it cannot be turned off
Where is the backup on the HD? Private folder shows ‘empty’ and nothing new in the public share, yet the BU was completed successfully…
Answer: The backup is hidden in the Public share of MyBookLive. To verify the backup you can go to the device user interface and select Backup option on the left column. It will then open the sceen and show you the list of WD Smartware backups and TimeMachine backups. To delete the backup, click on the Trash can icon.