AN INVERKEITHING-BORN MP has quit the party whip and faces “automatic suspension” from the SNP over an alleged cash scandal involving a Scottish independence campaign fund.
Natalie McGarry, 34, is at the centre of a police probe after Women for Independence (WFI) apparently spotted discrepancies between donations made to the organisation and its expenditure, over a period which included last year’s referendum.
Ms McGarry – the daughter of Inverkeithing councillor Alice and niece of Tricia Marwick, the Presiding Officer of the Scottish Parliament – helped set up WFI in 2012.
She was elected Glasgow East MP in this year’s General Election. 
Her solicitor said she has denied any wrongdoing.
WFI said it had been examining the finances for “several weeks now” after senior support staff raised concerns in late summer.
Its statement read: “We have identified an apparent discrepancy between our income (via donations) and the expenditure which we currently have evidence of. Because of the potential seriousness of this issue, the National Committee of WFI decided that the right thing to do was to pass this matter to the police.”
It added, “The situation we have referred to the police for further inquiry is serious, but we want to stress to our supporters that appropriate, robust and transparent controls are now in place to protect any monies donated to WFI now or in the future.”
Police Scotland confirmed that a report had been received and that the matter is currently under investigation.
On Tuesday, Ms McGarry’s solicitor Aamer Anwar said she had decided to withdraw from the party whip, “although she is fully aware that this will lead to automatic suspension from the SNP”.
Mr Anwar continued: “She maintains she has done nothing wrong, but is conscious that the events of the last 48 hours are distracting from the job she was elected to do on behalf of the SNP. She has a proud record as a principled activist and states she is determined to clear her name.
“Fortunately, in our legal system we still believe in a presumption of innocence. What has been reported to Police Scotland are financial discrepancies, yet they have not even established whether criminality is involved. Yesterday, at Natalie’s request, I contacted Police Scotland to advise them that she would speak to them if they wished to. 
“Today I have instructed forensic accountants to obtain all the necessary information which will then be provided on Natalie’s behalf to WFI as well as Police Scotland to assist them in reaching a swift conclusion.”
Ms McGarry is the second SNP MP to be involved in scandal since the party’s General Election landslide in May. In September, Michelle Thomson MP resigned as party whip, while police investigate irregularities over property transactions.
An SNP spokesperson said yesterday confirmed Ms McGarry's resignation, adding: “Following the reporting to Police Scotland of issues relating to the accounts of Women for Independence, Natalie McGarry MP has today indicated that she will temporarily be removing herself from the SNP whip at Westminster, which as a result will see her membership of the Scottish National Party suspended while the matter is investigated. 
“Natalie McGarry has taken this step in order to allow the full and proper investigation of the issue. She now hopes that that investigation can proceed as quickly as possible, is clear that there has been no wrongdoing on her part, and will not be commenting further until the matter is resolved.”
Opposition parties had called for Ms McGarry to be suspended while the investigations are under way.