LAWYERS acting on behalf of embattled MP Natalie McGarry are to demand the release of an audit report that is believed to detail alleged discrepancies in a pro-independence campaign group's finances.

The Glasgow East MP stood down from the SNP after Women for Independence, an organisation she co-founded, called in police, saying it had uncovered financial discrepancies with around £30,000 apparently unaccounted for. It quickly emerged that Ms McGarry was at the centre of the controversy.

Allegations are believed to centre around a PayPal account used for donations that Ms McGarry had control of. However, friends of the MP have indicated that the financial arrangements at the Women for Independence were highly chaotic, particularly in the run-up to the independence referendum, and insist that poor accounting practices are likely to explain apparent discrepancies.

Aamer Anwar, Ms McGarry's solicitor, has called in forensic accountants to examine accounts and called for information held by Women for Independence to be released to his team to aid the investigation.

He said: "If Women for Independence want to get to the bottom of this shambles, it is essential that we are provided with full details of what they allege the financial discrepancies to be.

"Nobody has been able to even provide definitive details of what went wrong. My firm will be approaching Women for Independence to request this. It would be very helpful to know what the discrepancies actually are and what accounting methods were used.

"To date a copy of the so-called audit has not even been provided to Natalie. Surely natural justice means that she is entitled to such information and be allowed to answer the serious questions she faces. Cooperation by the Women for Independence would be helpful to everyone and stop the damaging wild speculation and trial by media."

It is understood that the audit was carried out by two senior Women for Independence figures and a chartered accountant covering the period 2014 to March this year, which the group has highlighted as the timeframe in which discrepancies were uncovered.

A leaked email, written by Ms McGarry in March, detailed income and expenditure for the group and promised to follow up with audited accounts that it is claimed were never provided.

While sources within the group have insisted that Ms McGarry has been given multiple opportunities to explain apparent discrepancies, friends of the MP have said that she was shocked to learn that police had been called in, and has been left "distraught" by the sequence of events.

The Herald: SNP MP Natalie McGarry (second from right, at the front)

It has emerged that Ms McGarry paid back a four-figure sum to Women for Independence, which her supporters claim had been lying dormant in an account, in late summer.

One source said that Ms McGarry had been "thrown under the bus" by her former friends at Women for Independence, a group that was established "over a glass of wine" in 2012 with former socialist MSP Carolyn Leckie a driving force in its early days. The organisation grew in the run-up to the independence referendum and carried on following the vote, campaigning on a series of issues.

The source added: "To try to pin this on Natalie is ridiculous. If someone is trying to steal money why would they leave that money in an account then pay it back? If they wanted to steal it they would have spent it. Anyone who has worked in a new, grassroots organisation will know that finances can be chaotic.

"People were demanding travel expenses, hotel rooms and equipment and receipts weren't always provided. It seems everybody is jumping on the bandwagon and saying Natalie was the only person involved, but that's unfair. People like Carolyn Leckie, Jeane Freeman and Susan Stewart were all central in the organisation."

Sources within Women for Independence indicated that the audit report was in the hands of police. The group declined to comment, citing the ongoing police investigation.