In this situation the diode is connected as follows. The anode(+ive) is connected to the N-Type material and this has the effect of attracting the free electrons away from the N-Type material.
The Cathode is connected to the P-Type material and this terminal will send electrons into the P-Type material and these will in turn fill in the holes. The overall effect is that all the charge carriers, the Holes of the P-Type and the electrons of the N-Type are removed.
Its as if a great big Depletion Layer is formed. In this state the diode will not conduct and is said to be Reversed Biased.
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