A civil claim against the SNP for an alleged fraudulent breach of trust in its handling of more than £600,000 in donations is “nigh on irresistible”, the Dean of the Faculty of Advocates has said. The party has been under pressure in recent years over the crowdfunded cash, which it had initially said had been “ring fenced” to fight an independence referendum, which was never called.
Background of the Donations
When questioned on how the money was spent, party figures said it was used for general activities, citing all actions taken by the SNP as pushing for Scotland to be independent. A “small number” of refunds have been provided, with the party saying more can be requested by contacting the SNP directly.
Legal Opinion from Roddy Dunlop KC
Stuart Campbell, who runs the Wings Over Scotland blog and is a frequent critic of the SNP, is seeking to begin legal action on behalf of those who donated to the fund in the hopes of recovering the money. Roddy Dunlop KC, the Dean of the Faculty of Advocates, provided a legal opinion to Mr Campbell, finding the SNP had likely committed a fraudulent breach of trust.
“On the assumed facts, the civil claim for fraudulent breach of trust is, in my opinion, nigh on irresistible,” he wrote. “The trust was created; it was breached; the breach was dishonest; and the donors have suffered loss in the amount of their unrefunded donations.”
It would not be enough for the party to claim it was “the party of independence”, Mr Dunlop added. “The trust was specific: a referendum campaign,” he said.
Potential Consequences
If the action is brought and the SNP loses, Mr Dunlop said, a court could award donors their initial donations and interest. With the judicial rate of compound interest at 8%, the top lawyer said, those who brought the action could be entitled to double their initial donation. Mr Dunlop also suggested in his opinion that the SNP may have committed embezzlement by using the funds for something other than their intended purpose.
SNP Response
A spokesperson for the SNP said the accusation had been “fully explored” in the probe into the party’s finances which resulted in the guilty plea of former chief executive Peter Murrell for embezzling £400,000 of party funds. Murrell, the estranged husband of former first minister Nicola Sturgeon, was sentenced to more than five years in prison last month at Edinburgh High Court.
“These were the issues which were fully explored during the course of the forensic police investigation – and which resulted in no action taken against the SNP. In the course of this complex and extensive police investigation, the criminal actions of Peter Murrell were uncovered and the SNP was found to be the victim of embezzlement. A small number of donors to this independence campaign requested refunds and all those making a legitimate request received a full refund. Anyone else who donated and wishes their money back can request a refund by contacting the SNP.”
