Craig Whyte told a prospective business partner his firm had £60m in assets, a court heard.

London financier John Newlands said he had seen documents relating to Whyte's Liberty Capital company.

He also told the High Court in Glasgow on Monday that the former Rangers owner once helped him pay his rent.

Mr Newlands wrote a letter to say Whyte could "comfortably" back a £10m share issue.

The 46 year-old denies a charge of fraud and a second allegation under the Companies Act in connection with his takeover at Ibrox.

Mr Newlands - a corporate financier - recalled how he first met Whyte around 2010. They later discussed going into business together.

The trial has previously heard how Whyte struck a deal in May 2011 to buy Sir David Murray's controlling stake at Rangers.

It emerged that in March 2011 Mr Newlands wrote a letter to the Murray Group stating Whyte could "comfortably underwrite" a possible £10m "rights issue".

The 62-year-old witness said there were two reasons why he done this.

He told the court: "One, because Craig had allowed me sight of the financial statements of Liberty Capital as well as texts and emails that there were assets of £60m.

"Secondly, I did it in good faith because Craig and I were in a business relationship."

Mr Newlands recalled how Whyte had once stepped in when the financier could not pay his £2100 rent for his own business.

He said: "I asked Craig as a prospective business partner if he could kindly provide the wherewithal."

Mr Newlands said he had needed "readily available cleared funds" and that Whyte went on to "transfer" payment.