An investor who spent $7.2 million of his family company’s money on HIH shares a few months before the giant insurer collapsed in March 2001 kept buying even as the company’s worsening condition became public knowledge.

NSW winemaker Darren De Bortoli appealed in the Federal Court in Sydney last week against HIH liquidator Tony McGrath’s rejection of his claim for recompense, saying he relied on company information that was later found to be misleading and deceptive.

Mr McGrath has previously undertaken to accept claims by shareholders who can prove they relied on misleading and deceptive company information to buy shares. It’s understood only one such claim has been accepted.

The liquidator says De Bortoli Wines “failed to take care of its own interest in continuing to acquire HIH shares”.

Mr McGrath’s barrister, Fabian Gleeson, SC, told the court the case doesn’t revolve around a person buying HIH shares once or twice. “It’s a person who’s bought on 66 occasions in the face of a falling market.”

Fairfax media says Mr De Bortoli agreed in cross-examination that he “backed his own judgement” and “felt he knew better than the market” when buying the shares.

“I never dreamed that the accounts were dodgy in the first place or the directors were dodgy,” he said.

Justice Margaret Stone has reserved her decision.