An accountant claimed that it was likely funds from a Scottish independence organisation was covering Natalie McGarry’s expenses.
Elizabeth Young, 37, alleged that she came to the conclusion after she was handed McGarry’s personal bank statements in 2015.
Miss Young claimed that Woman For Independence brought her in due to “concerns” about McGarry’s handling of the organisation’s finances.
The witness told a jury at Glasgow Sheriff Court that worries were raised about her when the former politician asked a fellow dinner guest to pay for her shopping.
Miss Young added that she felt “fobbed off” as she chased McGarry for financial information between April and November 2015.
McGarry, 40, who represented Glasgow East for the SNP, allegedly stole more than 25,000 from two organisations advocating for Scottish independence between April 2013 and August 2015.
McGarry, born in Inverkeithing, Fife, allegedly embezzled £21,000 while Treasurer for Women for Independence (WFI) between April 26, 2013 and November 30, 2015.
‘Asked guest to pay for shopping’
Miss Young – a chartered accountant – claimed she initially tried to get involved with the WFI in relation to helping McGarry with the WFI’s electoral commission report regarding finances for December 2014.
The witness claimed she was brought in by the organisation in 2015 as there was a “bit of concern” regarding the finances.
The court was shown emails from April 2015 in which Miss Young appeared to ask McGarry for the organisation’s financial information including bank statements.
Miss Young stated that she was invited over for dinner by recently elected McGarry in mid 2015 who told her she would hand over financial information.
Miss Young: “When we were there, that’s the first time I had some concerns.
“Natalie had a story that her partner had taken her bank card and didn’t have any money and asked the other guest to pay for her shopping to make dinner.
“It struck me in my mind as a strange thing to happen, it seemed odd even to invite people round for dinner and ask those there to pay for it.
“I don’t know if she paid it back and I didn’t know if she was on top of her finances.”
Mr Mitchell: “Was she an MP at the time?”
Miss Young: “She was.”
The witness claimed she became “fobbed off” with McGarry who was not providing “much” financial information.
It was stated that the organisation was transferred cash by McGarry which was said to have been the outstanding balance of a closed WFI PayPal account she had control over.
‘Red flag’
Miss Young said: “When Natalie transferred money out, it was a serious red flag.
“At that point it’s fair to say it was a red flag and we began to have serious concerns that this would be quite significant and we needed to be careful.”
Mr Mitchell asked: “After being aware of the red flag, did you speak to Carolyn Leckie or Jeane Freeman?”
Miss Young replied: “I said not to touch the money until we had this sorted out.”
Miss Young claimed that she began to compile a financial report with the information that she had and was being given by McGarry.
It was stated that a gap of more than £31,824 was discovered by Miss Young.
The witness claimed that she and other members met to discuss the organisation’s income and expenditure since its formation.
She said: “In 2014, £75,000 was brought in by WFI and there was an expenditure of £43,000.
“It’s not credible that £30,000 could be spent on things that someone could not remember.
“We couldn’t say any further discussion with Natalie would throw up a valid explanation for that amount of money.”
The witness claimed that as there was “no credible” explanation for the financial gap, WFI reported McGarry to the police.
She stated this was due to a “lack of engagement” from McGarry and “patterns” around her own personal expenses.
Mr Mitchell: “You said patterns you came across, what do you mean?”
Miss Young: “I had personal bank statements, as her funds ran low, there would be a lodgement of funds from WFI PayPal or cheques.
“It seemed to me it’s more likely that funds were being deposited to cover her own personal expenses.
“It looked like her funds ran low and more money came in – obviously that was a warning.”
A second charge states McGarry took £4,661 between April 9, 2014 and August 10, 2015 when she was Treasurer, Secretary and Convenor of Glasgow Regional Association of the SNP.
McGarry – of the city’s Clarkston – denies the two charges.
The trial continues before sheriff Tom Hughes.
