A FORMER colleague of Craig Whyte the businessman who bought Rangers from Sir David Murray was “annoyed” after discovering £1 million had left their company to apparently help fund the Rangers takeover.
David Gillespie, an ex-associate of Craig Whyte, recalled being “p***ed off” when he found investment firm Merchant Turnaround had “less funds than expected” in 2011.
Mr Gillespie, who had been a director of the business, told how he had never given “authority” for money to be used in any Rangers deal.
The 68-year-old businessman had instead earlier warned Mr Whyte he had not wanted any involvement in a football club.
The evidence was heard at Mr Whyte’s trial at the High Court in Glasgow yesterday.
Mr Whyte, 46, who bought Rangers from Sir David Murray for £1 in May 2011, denies fraud and a second allegation under the Companies Act in connection with the deal. He denies the charges.
Mr Gillespie, a retired stockbroker, told the court he had been a director of Merchant Turnaround PLC and Mr Whyte was company secretary.
At about the time of the deal to buy Sir David’s controlling stake in the club, another director asked for an “analysis” of investments, the court heard.
Mr Gillespie told the court: “We discovered that there were less funds than expected.”
It was found £1m had been sent to law firm Collyer Bristow, which was involved in Mr Whyte’s takeover.
Mr Gillespie said up to that point he had been unaware of the money transfer.
Under cross-examination, Alex Prentice QC, prosecuting, asked how the witness had reacted to the discovery. Mr Gillespie replied: “Annoyed, p***ed off, if you like.
“I obviously referred to Mr Whyte what was going down really.
“He said that he had put it across as a prelude to being involved in the Rangers acquisition that he was trying to pursue or had concluded.”
Mr Gillespie told how months earlier he had met Mr Whyte in Glasgow as speculation mounted about his Rangers bid.
He recalled: “We discussed that and I made it clear that I did not want to get involved with a football club.
“I just would not want to stretch to something as high profile as that.”
Mr Gillespie added he had not granted authority for the money to be transferred although he “could not speak” for another director, Philip Betts.
The jury heard Mr Betts was a key associate in the takeover.
Mr Prentice asked the witness whether he had given “authority” for money to be used in any “proposed acquisition”.
Mr Gillespie: “No. As I said previously, I had discussed it with Mr Whyte and he knew my view.”
Earlier in the week, corporate financier John Newlands gave evidence that he had been given “sight” of documents relating to the finances of Mr Whyte’s Liberty Capital company that suggested it had £60m of assets.
The trial, before Judge Lady Stacey, continues.
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