A BUSINESSMAN has told a court how he witnessed the man accused of murdering Suzanne Pilley arguing with the bookkeeper in a hotel room.

Steven Kavanagh, 41, told the High Court in Edinburgh he saw David Gilroy, 49, rowing with Suzanne, 38, in the divorcee's apartment at Crieff Hydro in October 2009.

The company director told prosecution lawyer Alex Prentice, QC, yesterday the alleged confrontation took place as he was using the bathroom in Suzanne's room.

He said that, after leaving the toilet, Mr Gilroy asked him what he was doing in Suzanne's room.

He said: "There were raised voices.

"The gist of it was that he thought I was intending to sleep with Suzanne. He was clearly unhappy. He was upset, angry."

Mr Kavanagh said: "He said something like 'what are you doing in my girlfriend's room. He wasn't happy. He was shouting."

Mr Kavanagh then said Suzanne managed to calm Mr Gilroy down.

After the chat, Mr Kavanagh said Suzanne appeared to be "okay".

Mr Kavanagh said he came into contact with Suzanne on October 9 while at Crieff Hydro and had talked to her during cigarette breaks.

The evidence came on the eighth day of the trial of Mr Gilroy who denies murdering Suzanne at Thistle Street, Edinburgh, or at another location in Scotland on May 4 2010.

He also denies four other charges which allege he committed a series of criminal acts across Scotland between August 2009 to June 2010.

In one charge, Gilroy, of Silverknowes, Edinburgh, is alleged to have committed a breach of the peace by shouting at Mr Kavanagh at the Perthshire hotel on October 9, 2009.

The trial before Lord Bracadale continues.