A neighbour of Tia Sharp's grandmother claimed he saw the schoolgirl walk towards a bus stop while he was having a cigarette in his front garden.
The court was read a statement given to police by Meehan, in which he said: "From the time I saw Tia I didn't take my eyes off her."
He added: "I think we're all willing and hoping to find Tia safe, more than anything else."
After his arrest, Meehan told officers: "I definitely saw her leave the house. Whether she came back I don't know."
Meehan denies causing wasteful employment of the police by making a false report that he had information linked to an inquiry on August 6.
More top news
The King of Pop wore his "magic shoes" when he performed his famous moonwalk on stage for the first time during a rehearsal of Billie Jean.
The body has not been formally identified but officers believe it is 40-year-old Dean Tate, who was reported missing two months ago.
Nabi Tajima, who was the last known person to have been born in the 19th century, died in Japan after being in hospital since January.