A pro-independence ­business group has described the position of Confederation of ­British Industry (CBI) director general John Cridland as ­untenable after the row over its registration with the elections watchdog as a No supporter in the independence debate.

Business for Scotland said it feared the director of the organisation north of the Border, Iain McMillan, had been made a scapegoat after his retirement was announced at the weekend.

It follows the row which saw 18 organisations, including the BBC, VisitScotland and Scottish ­Enterprise, either quit or suspend their memberships.

A Business for Scotland spokesman said: "It does beg some questions about the main driver behind the CBI's response to the Scottish Government's White Paper. That was headed up by the director general, John Cridland, who was responsible for the composition and media promotion of what was clearly a highly politicised act of No-campaigning.

"Mr McMillan's retirement as director in Scotland may suggest to some people an element of scapegoating to distract from the central CBI figure, director general John Cridland. His position now looks untenable.".

The CBI said a timetable for Mr McMillan's departure was agreed in January, before it came under fire for its registration for its stance. It has approached the Electoral Commission to have the registration withdrawn, with Mr Cridland saying it had made an "honest mistake".

Mr Cridland said registering had "triggered something none of us expected". It is reviewing the situation and taking legal advice.