Even from a sadistic point of view, they fucked it up already. If they wanted to actually torture them, they would've allowed the fish to establish relationships with each other and let them experience the loss and possible isolation when one of their "friends"/positive acquaintances gets the boot. TTS and Sam + the Sharks actually fucking with them would be the icing on the cake. And the Entity currently looks like an afterthought, it was most likely planned to scare the shit out of you in the night and not be Shark+1. It should look like this, for example:
My current opinion is that the first two weeks were so far the best of the show. The reasons were discussed already.