EX-SNP politician Natalie McGarry paid back cash to the Scottish independence organisation she is accused of embezzling from with a loan.
Natalie McGarry, 40, who represented Glasgow East for the SNP, allegedly stole more than £25,000 from two Scottish independence organisations between April 2013 and August 2015.
One charge claims the former MP embezzled £21,000 while Treasurer for Women for Independence (WFI) between April 26, 2013 and November 30, 2015.
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Witness and former health secretary Jeane Freeman, 68, stated that £6,436 of WFI cash that landed in McGarry’s bank account was paid back by the former politician.
Prosecutor Alistair Mitchell said: "The money that was paid back to WFI, it's agreed the source of these funds were a loan payment to Natalie McGarry, was WFI aware of that?"
The witness replied: "No."
The second charge states McGarry embezzled £4,661 between April 9, 2014 and August 10, 2015.
It is alleged that while McGarry was Treasurer, Secretary and Convenor of Glasgow Regional Association of the SNP, she used cheques drawn from their bank account to pay expenses not incurred by the group.
McGarry is claimed to have retained reimbursements intended to settle expenses which she was not entitled to.
The charge goes on to say McGarry used cheques and money from donations to the organisation to deposit money to her own accounts.
McGarry, of the city’s Clarkston, denies the two charges.
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Miss Freeman told the court that she contacted police as she had a “responsibility” due to the job roles that she and accountant Miss Young had.
In a later report to WFI's national committee it was stated that there was a £31,824.10 discrepancy in the known income and expenditure figures.
Mr Mitchell asked: "You said you were aware of the crowdfunders, it is agreed that the money from those three crowdfunders were transferred to Natalie McGarry's bank account - were you aware of that?"
Miss Freeman replied: "No."
Mr Mitchell asked where the witness expected the cash to go and she replied: "The WFI bank account."
The prosecutor later said: "From March 2014, the PayPal account was connected to Natalie McGarry's bank account, were you aware of that?"
Miss Freeman again replied: "No."
Allan Macleod, defending, put it to Miss Freeman that McGarry was "not an accountant or have any accountancy qualifications."
She said: "No, and I feel people who have the title of treasurer of a small organisation would fall into that category.
"It's not difficult to know how to record income and expenditure and get information to support that expenditure."
Mr Macleod also suggested that McGarry was doing "a lot of work."
Miss Freeman replied: "Yes, along with others."
Miss Freeman stated that McGarry was tasked with sending financial figures to the electoral commission following the independence referendum.
Mr Macleod stated that there was "angst" among WFI members whether the financial report would be submitted on time which Miss Freeman agreed with.
In her police statement read to the court, Miss Freeman told officers: "I was getting annoyed that if a national committee were not submitting this information and missed the deadline it would be embarrassing.
"Natalie said 'It was all over the place' and it's at this time Elizabeth Young, an accountant, volunteered to do the accounts and it was ideal."
It was put to Miss Freeman by Mr Macleod that McGarry was a "bit disorganised."
The witness replied: "It would be fair to say that from time to time Natalie appeared to be quite disorganised and it was fair to say she was unwilling to accept any help."
Mr Macleod also suggested that McGarry was a person that "got things done" but paperwork was not her "strong suite."
Miss Freeman said: "That would appear to be the case."
The trial continues before sheriff Tom Hughes.
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