LOCs underpinning Vesttoo’s business ‘largely illusory’
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LOCs underpinning Vesttoo’s business ‘largely illusory’

vesttoo logo penrose .jpg

The vast majority of letters of credit (LOCs) issued by beleaguered InsurTech Vesttoo as it built its business have turned out to be fraudulent, the result of an elaborate deception that included impersonation of bank officials, according to findings made public as part of the company’s bankruptcy case.

Since 2020, Vesttoo quoted 96 and closed 65 transactions with collateral totaling roughly $3.9bn, according to the filing.

LOCs issued by China Construction Bank underpinned about $2.8bn

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