Police Scotland investigates "alleged irregularities relating to property deals" after MP's solicitor struck off

Police Scotland has confirmed it has been instructed by the Crown Office to launch an investigation into “alleged irregularities relating to property deals” following the Tribunal which saw SNP MP Michelle Thomson’s solicitor struck off by the Law Society for professional misconduct.

Thomson’s solicitor, Chris Hales, was struck off by the Law Society after a ruling by the Scottish Solicitors’ Discipline Tribunal in May 2014 – a year before Thomson became MP for Edinburgh West – after being found guilty of professional misconduct in carrying out property deals on behalf of Thomson and her business partner.

The Discipline Tribunal ruling says: “The Tribunal consider that the features of these transactions were such that the Respondent must have been aware that there was a possibility that he was facilitating mortgage fraud, whether or not this actually occurred”.

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While Thomson’s spokesperson said the MP has always acted within the law, the ruling adds that the “central role” of Michelle Thomson and M&F Property Solutions “should have set alarm bells ringing”.

Holyrood now understands that the Tribunal’s ruling was followed by a complaint to the Crown Office, which has now instructed Police Scotland to launch an investigation.

Responding to questions from Holyrood regarding the case, a Crown Office spokesperson said: “As a result of a ruling of the Scottish Solicitors' Discipline Tribunal Crown Office instructed the Police Service of Scotland to commence an investigation into alleged irregularities relating to property deals in the year 2010-2011.”

Details of the Tribunal first surfaced in the Sunday Times, which alleged that Thomson, the SNP’s shadow minister for business, innovation and skills, was involved in property deals which allegedly took advantage of vulnerable families.

Thomson’s solicitor Chris Hales was found guilty of professional misconduct in 13 property deals – all of which involved the now MP for Edinburgh West or the property venture M&F Property Solutions.

In one instance the Sunday Times alleges that in June 2010 Thomson bought a house for £245,000, before selling it just hours later for £315,000.

The investigation claims that at least 17 homes in Scotland are either owned by Thomson, by her husband, or by the couple jointly.

Scottish Labour's Public Services Spokesperson Jackie Baillie yesterday said that if the allegations were true, “then Michelle Thomson's suitability to continue as a SNP MP will be called into question”.

But a spokesperson for Thomson said: “Miss Baillie misunderstands these transactions. Vendors who had being trying to sell, sometimes for years due to a lack of mortgage availability were relieved to finally get a sale of their property.

“Vendors signed the legal documents to enable a sale to go through and which are in the public domain.  Several different solicitors served vendors or purchasers and were fully licensed and qualified to do so at that time.”

Baillie said: “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.

“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.”

Baillie added: “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 front bench whilst these allegations are investigated?

“Given that her solicitor, who was acting on her behalf, has been struck off, we need to know whether Michelle Thomson has been interviewed by Police 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.”