Horizon Prime Bank Fraud and Insurance
"Importantly, it appears that many investors were advised and shown a document that they believed indicated that this investment was insured by a $1 billion bond issued by Nationwide Deposit Trust Insurance Company (Nationwide). The Receiver has recovered a copy of a one-page redacted document from the records in his possession that appears to indicate that a policy was issued by Nationwide to an unknown insured providing insurance coverage for Emergency/Catastrophe. However, this document has been redacted so that critical information is missing. In addition, it may have been modified. The Receiver is currently in communication with Nationwide, but it is highly unlikely that such a bond actually exists to protect any investor funds."
An insurance bond works on the imagination in much the same way as the guarantee does in a business opportunties scam or fraud - it dulls due diligence. After all, Nationwide Deposit Trust Insurance Company is real, isn't it? Who can understand insurance policies anyways?
