The High Court in Timaru has been told the directors of South Canterbury Finance believed bank facility agreements published in a 2008 prospectus were correct.
Two of South Canterbury Finance's former directors, Bob White and Edward Sullivan, and the former chief executive, Lachie McLeod, face 18 fraud related charges for the company's collapse in 2010.
Defence lawyer Marc Corlett said when the prospectus was published and referred to a loan of $150 million provided by two banks, Mr White and Mr Sullivan, believed this to be the case because they were told by the company's former chief financial officer, Graeme Brown.
Mr Corlett said the directors did not dishonestly mislead investors by publishing the $150 million figure.
However, the Crown said the information was misleading when one of the facilities worth $50 million was not going to be continued by a bank.
The court is sitting today as the defence aims to wrap up its week long closing submissions by Monday.
Over the past week the defence has refuted the Crown's allegations the defendants misled investors and acted dishonestly in concealing related party loans from the company's prospectus.