Michelle Thomson MP has insisted she has always acted within the law, but has withdrawn from SNP whip until investigation concluded

The SNP’s business spokeswoman has withdrawn from the party whip and had her party membership suspended after being linked to possible mortgage fraud.

There were calls for the SNP to suspend Michelle Thomson from the frontbench following confirmation from Police Scotland that it is investigating “alleged irregularities relating to property deals” after the MP’s solicitor was struck off for professional misconduct.

In a statement released late on Tuesday, Thomson insisted that she had always acted within the law but added that she would withdraw from the party whip while the police investigation was ongoing.

Thomson said: “I am aware of the police investigation and will cooperate fully if required to do so. I have always acted within the law and look forward to being cleared of any wrongdoing. I have this afternoon decided to withdraw from the party whip whilst an investigation takes place. Once the investigation is concluded I look forward to returning to play a full role in party activities.”

Thomson’s solicitor, Chris Hales, was struck off by the Law Society last year after a ruling by the Scottish solicitors’ discipline tribunal on a series of property deals which it described as possible mortgage fraud.

The deals involved the purchase of property at knockdown prices from families in financial straits who were in a rush to sell.

A spokesman for the SNP said: “In line with party rules Michelle Thomson’s decision to withdraw from the party whip means her party membership is also suspended.”



The Sunday Times [paywall] reported that all of the 13 transactions for which Hales was struck off involved Thomson, who was elected MP for Edinburgh West in May’s general election, or the property venture M&F Property Solutions, in which the tribunal stated she was a partner.

The tribunal ruling, which was released in full to the newspaper, stated the “central role of Michelle Thomson and M&F Property Solutions in a number of these transactions should have set alarm bells ringing”.

The ruling further stated that Hales “must have been aware that there was a possibility he was facilitating mortgage fraud, whether or not this occurred”.

Calling earlier for the SNP to suspend Thomson from their Westminster front bench, Scottish Conservative chief whip John Lamont warned: “The evidence of clear wrongdoing in a series of deals all involving Michelle Thomson is growing by the day. The fact that the police have been asked to investigate these deals shows how serious this issue has become.”

Jackie Baillie, Scottish Labour’s public service and wealth creation spokesperson, said that Thomson’s constituents were entitled to know if she would be interviewed by Police Scotland about the deals.

“These are very serious allegations about an SNP MP who is at the heart of business policy decision making in the party. We need full transparency from the people at the very top of the SNP about who knew what and when.”



On Monday Baillie had posed a serious of questions about the case, asking: “Was the first minister made aware of these allegations before they were made public? Did party officials know about these allegations before Michelle Thomson was selected as a candidate? Will Michelle Thomson remain on the frontbench whilst these allegations are investigated?”

Baillie then added: “At the heart of this story are vulnerable people who appear to have been taken advantage of. There must be thousands of families across the country in a similar situation, who have to sell their property out of desperation. We must do more to protect and support the victims.”

Thomson stood for parliament for the first time this year after becoming involved in politics through the pro-independence campaign as director of Business for Scotland.

A Police Scotland spokesperson said: “Police Scotland can confirm that as a result of a complaint from the Scottish solicitors’ disciplinary tribunal, it has been instructed by the Crown Office to carry out an initial investigation into alleged irregularities relating to property deals in the year 2010-2011.”