Lawyers acting for former Rangers chief Charles Green have urged appeal judges to order the club to pay the businessman's legal bills.
Alan Dewar QC told Lady Dorrian, Lord Malcolm and Lord Bracadale that their brother judge Lord Doherty acted incorrectly when he ruled Rangers didn't have to pay Mr Green's costs.
The 62-year-old entrepreneur is facing trial alongside former club owner Craig Whyte, 44, at the High Court.
Prosecutors allege that Mr Green, Mr Whyte and others participated in a large scale fraud during the time they were involved with the Glasgow side.
Mr Green's legal team believe that Rangers are obliged to pay the expenses incurred because of a clause contained with his contract with the team.
However, last year Lord Doherty ruled that the terms of the agreement didn't cover the costs of any alleged criminal behaviour.
Mr Dewar told the Court of Session hearing in Edinburgh that Lord Doherty had interpreted the law incorrectly.
Mr Dewar added: "He was doing his job. Mr Green ought to have the benefit of the indemnity.
"Mr Green was the chief executive of Rangers Football Club and these activities are said to have taken place at a time when he was in that position."
Advocate Gavin Walker appeared for Rangers, and told the court that it would be unfair to expect his clients to meet Mr Green's costs.
The lawyer said that the alleged criminal conduct carried out by Mr Green started before he became the chief executive of Rangers.
He said this meant the club shouldn't have to pay Mr Green's legal bills as he wasn't acting for Rangers at the time.
At the end of the hearing, Lady Dorrian told Mr Dewar and Mr Walker that she and her fellow judges wanted time to consider their decision.
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