Questions raised about role played by McGarry after campaign group members said donated money had gone missing

Nicola Sturgeon says that she needs more information before taking action over the case of Scottish National party MP Natalie McGarry, after revelations linking her to an allegation that tens of thousands of pounds in donations may be missing from the campaign group Women for Independence (WFI).

Speaking to broadcasters in Musselburgh on Tuesday afternoon, the SNP leader was responding to calls from Scottish Labour to suspend McGarry.

Questions have been raised about the role played by the MP for Glasgow East, after members of WFI – a group which she co-founded – contacted the police on Sunday night because they believed substantial amounts were missing from the organisation’s donation income.

Noting that seven members of the WFI national committee which agreed to report the allegations to the police are SNP candidates for next May’s Holyrood election, Scottish Labour’s Jackie Baillie also demanded confirmation of who had knowledge of the allegations and when they first knew.

In a letter to the SNP leader on Tuesday morning, Baillie refers to former SNP MP Michelle Thomson, who withdrew from the party whip at Westminster in September when it emerged that Police Scotland was investigating 13 property deals to which she was linked. Thomson has denied any wrongdoing.

“Given that it was right that Michelle Thomson’s membership of the SNP was suspended during a police investigation,” Baillie writes, “can you confirm that it is also right that the same standard will now apply to Natalie McGarry?”

But Sturgeon later insisted that it would be wrong to compare the two cases.

In the letter, Baillie adds in that it would be a “very grave matter” if anyone within the SNP knew of allegations before May’s general election but failed to make them public.

“Can you confirm when SNP officials, representatives or candidates at any level were first made aware of the allegations surrounding Natalie McGarry? Reports today confirm that seven of the WFI committee members who reported these allegations to the police are SNP candidates. Can you confirm when any of these people first became aware of the allegations? Can you confirm what discussions have taken place between SNP officials or senior elected members and these WFI national committee members about these allegations?”

Although some of the alleged financial discrepancies relate to a period before May 2015, WFI stated in an email to members that concerns emerged in late summer, and were the subject of an internal investigation for several weeks before being shared with the national committee for the first time on Sunday. The matter was then immediately passed on to Police Scotland.

The WFI national committee wrote: “Following our first AGM in March and the adoption of our constitution and robust and appropriate systems, concerns emerged in late summer regarding financial probity. For several weeks now we have been examining the finances of the organisation for the last financial year, 2014/2015.

“Following concerns being raised, and painstaking efforts to ensure we have gathered extensive and accurate information, we have been placed in the position of having no choice but to ask the police to help us.”

The Scottish Conservatives have also called for McGarry’s suspension. A spokesman said: “If it is the case that police are investigating this MP, then the SNP must suspend her immediately, given the serious nature of the allegations.”

However, in a statement released on McGarry’s behalf on Monday evening, her lawyer, Aamer Anwar, said: “Natalie McGarry MP is aware that suggestions of reported discrepancies in the accounts of Women for Independence have been passed to Police Scotland. This morning I contacted Police Scotland at Natalie’s request to advise them that she is ready to meet with them should they wish to.

“Accordingly I have advised Natalie that it would be inappropriate to make any further comment until the conclusion of that inquiry, other than to state that she is certain that there has been no wrongdoing on her part.”