A wealthy Tory MSP has denied rearranging his half-a-million pound property portfolio in a bid to cash in on the Holyrood expenses system.

John Lamont has made a plea to parliament for overnight expenses in Edinburgh despite owning a flat in the capital. He cannot claim for staying in his £177,000 Edinburgh pad because he bought it before he was elected last year.

The Roxburgh and Berwickshire MSP's bid is the latest blow for the Edinburgh Accommodation Allowance (EAA), which allows elected members to bill the taxpayer for rent, hotel and, until 2011, mortgage interest costs when staying in Edinburgh.

Lamont entered parliament with residential homes in Edinburgh and the Borders, as well as owning a £350,000 property in London which he lets for up to £15,000 a year.

He has been unable to make any EAA claims as he owned his Stockbridge residence prior to his election.

But changes to Lamont's living arrangements may make the ban redundant.

The lawyer has rented out his Edinburgh flat since October last year for up to £10,000 per annum.

He has now made a pitch for EAA funds on the grounds that he may need a place to stay in the capital.

Holyrood rules state that the parliament may reimburse overnight costs if "it is satisfied that it would not be reasonable in all the circumstances to expect that member to use that member's other residence".

Lamont wants to know if he can bill the public for overnight accommodation, despite the fact he can stay in his own flat at no cost to the taxpayer. The MSP's three properties are worth in excess of £500,000 and he charges up to £25,000 a year in rental on two of his flats.

The parliament's Corporate Body, which runs Holyrood, is considering the case, which is Lamont's second bid for overnight funding.

He said yesterday: "My private financial matters are a matter for me. What MSPs can claim for is a matter of public record."

Asked if he had rearranged his property portfolio in order to become eligible for funds, Lamont said: "It's a matter for the corporate body whether I can claim or not. I view my flat in Edinburgh as an investment."

The Borders MSP is the latest Conservative politician to make a bid for public money to support accommodation costs in Edinburgh, despite owning a flat there.

Murdo Fraser, deputy leader of the Scottish Tories, earns up to £5000 a year by letting out a flat he and his wife own in Dalgety Street, Meadowbank. The couple bought the flat in 2000 for £43,500, using a £32,500 joint mortgage.

At the time, the pair already had a family home in Edinburgh's Willowbrae Avenue, but in 2002 they sold up and moved to the Perthshire village of Alyth, closer to Fraser's Mid-Scotland and Fife constituents.

However, instead of staying overnight when in Edinburgh in the Dalgety Street flat, which was ineligible for public support, Fraser bought a new £171,000 flat half a mile away in Brunton Terrace.

Ever since, he has claimed public money to live in Brunton Terrace, and is currently billing taxpayers for almost £650 a month in mortgage interest.

Since 2003, he has clawed back more in EAA than the value of the Dalgety Street mortgage.

Mark Wallace of the Taxpayers' Alliance said: "This kind of behaviour is totally unacceptable, particularly when ordinary taxpayers are struggling to survive a recession. Mr Lamont should learn that these allowances are to let him do his job properly, not allow him to build up a rental portfolio."

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