When the money changes hands, it's no longer NED's. That's my point.

Your point is not correct. Under the law, a company can't just throw away liabilities during a sale. And when an officer makes a promise for that company and investors depend upon it, the company's successors are bound by the liabilities incurred in the past.

Unless your real point is "don't trust anyone to tell the truth or abide by their word, even when the promise creates a legal obligation or rises to the level of fraud when violated". In that case, sure your point is valid, but would seem to imply you should never invest in anything except your own work. I.e. "I'm an island and I can achieve all ends I desire by myself". In my opinion, that idea leads towards the death of civilization and real progress by mankind.