A FORMER Rangers administrator is suing Scotland's chief public prosecutor over a move to freeze his assets two years ago.

David Whitehouse who is taking the action against the Lord Advocate, was appointed as joint-administrator of the former Rangers Football Club PLC with Duff and Phelps colleague Paul Clark in 2012 after owner Craig Whyte declared the business was insolvent.

Charges relating to the collapse of the Rangers oldco were dropped against Whitehouse and Clark in June, last year. In June Mr Whyte was found not guilty of fraudulently acquiring the club.

Last November, Mr Whitehouse and Mr Clark said they had opened up legal proceedings against Police Scotland over their arrests. The duo started legal proceedings against the Lord Advocate and Procurator Fiscal as well as the Chief Constable of Police Scotland.

The Herald: The case against the former administrators of Rangers Paul Clark (right) and David Whitehouse is continuing

It comes after a London court ruled police and prosecutors abused state power during their investigation into the takeover of Rangers.

Now it has been confirmed that Mr Whitehouse has launched an action against the Lord Advocate understood to relate to a restraint order imposed on the Duff and Phelps Manchester office managing director and his wife by the Court of Session in December, 2015.

The ordinary action was called at the Court of Session earlier this week.

Stuart Munro, Mr Whitehouse's lawyer, confirmed the action was about the restraint order but could not make any further comment.

Whitehouse and Clark, who were appointed as administrators for Rangers in 2012 were arrested in 2014 over alleged offences relating to the acquisition of Rangers more than three years earlier.

The Herald:

After the charges were dropped, the men slammed the Crown’s case against them as “without foundation.” They then threatened legal action over the damage to their reputations.

Mr Whyte ended up being the only man to stand trial in relation to his 2011 takeover after charges against the other six accused were dropped.

Last October, calls were made for Scottish Government review after a court ruled police and prosecutors "abused state power" in a raid during an investigation into the allegedly fraudulent takeover of Rangers.

Lord Justice Gross and Mr Justice Mitting at the High Court has said costs must be paid to London-based law firm Holman Fenwick Willan after the court heard Police Scotland and the Lord Advocate seized privileged documents not covered by a search warrant.

The judges said Police Scotland and the Lord Advocate "should have known" that the law of Scotland and England and Wales required "special procedures" to be taken to ensure that documents which were the subject of professional privilege were not seized.

Mr Whitehouse and Mr Clark are being sued for £28.9 million by BDO, the liquidators of Rangers oldco, in relation to their handling of the administration process.

Duff & Phelps said they were surprised and disappointed while the Mr Whitehouse said they "fundamentally disagree" with allegations made against them and vowed to contest the civil action.

The Crown Office has said it could not comment on ongoing legal proceedings.