A right-wing Super City candidate has been ordered to pay more than $70,000 to a finance company after a judge ruled that she misled it by not revealing a debt on a loan application.

The credibility of Roshni Devi Golian, who is seeking a seat on the Maungakiekie-Tamaki local board on the Citizens & Ratepayers ticket, was criticised by a District Court judge in a decision that found she was responsible for 65 per cent of the loss incurred by Matrix Mortgages.

But Ms Golian told the Herald last night she did not accept the decision and would appeal.

As the director of mortgage broker Rosgo Financial Services, she obtained a $120,000 loan from Matrix Mortgages on behalf of Zurvan Investments - which was owned by a family trust of which she is also a trustee.

The application set out the high incomes of the trust beneficiaries and their ability to service a potential loan, but did not disclose that Zurvan owed her more than $300,000.

Matrix Mortgages director Balvant Singh said the accuracy of the information was important in assessing whether the loan would be serviced.

He said it was "additional comfort" to him that Ms Golian was a trustee of the family trust and could verify the accuracy of the information supplied to him.

In August 2007 a loan of $120,000 was advanced to Zurvan but it was not until six months later that Mr Singh's solicitors confirmed to him Rosgo was owed $317,000 by Zurvan.

Zurvan was placed in liquidation in May 2008 without any money being repaid on the Matrix loan.

During a two-day case in the Auckland District Court in May, Ms Golian said the information in the application was not contributed by herself or Rosgo and neither of them had any special knowledge of Zurvan or the trust that owned it.

Her lawyer said Ms Golian advised Mr Singh of the debt from Zurvan to her and her company so he was aware of Zurvan's financial circumstances and should have made his own investigations before making the advance.

But Judge Nicola Mathers said there were issues of credibility - particularly with Ms Golian.

"It is rare, particularly in a civil case, where I have been driven to such a firm view, having seen and heard Ms Golian give evidence, that where there is any conflict I can place little, if any, weight upon her evidence.

"Put another way, where there is any conflict between Mr Singh and Ms Golian, I prefer the evidence of Mr Singh."

Ms Golian "well knew" any information provided by her as a broker would be important and relied upon as to its truth and accuracy.

In relation to her claim that she advised Mr Singh of the debt from Zurvan, the judge said: "I simply do not believe Ms Golian in this regard and reject her evidence."

However, she accepted that Mr Singh to some extent should have carried out prudent checks.

Judge Mathers said Ms Golian's non-disclosure misled Mr Singh. In her decision, the judge said Mr Singh must bear some responsibility for the loss but Ms Golian, because of her breach, was an effective cause of the loss.

She believed Ms Golian contributed 65 per cent of the loss and ordered she pay $70,720 with interest and costs.

Ms Golian said she did not know if she would continue her election campaign. Before making any decision she would need to speak to C&R and her family.

Her profile on the C&R website praised her exceptional leadership skills and said she would help pursue greater vibrancy in the community.