Mystery over Sturgeon’s luxury hotel stay at height of SNP fraud

As Covid-19 restrictions lifted and the chaos of lockdown eased, Nicola Sturgeon might have felt she deserved a reward.

But even by the standards of Scotland’s elite, the then-first minister chose to celebrate in extravagant style.

In July 2021, Ms Sturgeon and Peter Murrell, her husband, booked the Isle of Eriska Hotel and Spa on the west coast of the country, one of its most exclusive destinations.

As Murrell awaits sentencing for embezzling SNP funds, The Telegraph can reveal details of the trip for the first time amid unanswered questions on how it was paid for.

Other guests staying at the five-star island retreat said the pair “wined and dined in a very lavish manner”.

One told The Telegraph that they were “astonished” at the high-value wines and champagne the then-SNP leader and chief executive were drinking.

Less than a week after that visit, police launched Operation Branchform, an investigation that culminated in Murrell’s conviction for embezzling £400,000 from the SNP.

Insiders told The Telegraph that police looked at the substantial hotel bill to see whether it was paid for by an SNP charge card. They said it was omitted from the police inquiry as it was not a payment billed to the SNP.

Ms Sturgeon’s lawyer said that she settled “a bill for charges incurred” at the hotel, which costs up to £750 per night for a room in the summer months, from her personal account.

However, he declined to confirm whether this meant that she paid the entire amount, if the bill was split between herself and her now-estranged husband, or whether she covered some ancillary costs.

Another leading public figure denied a rumour that they had picked up the bill, after being approached by The Telegraph.

The visit coincided with a period during which Murrell was stealing tens of thousands of pounds from the SNP, with the money directly funnelled into his bank account.

In a statement issued shortly after Murrell was led away in handcuffs from the High Court in Edinburgh, Ms Sturgeon said she had “no reason to doubt” he had used his own money to fund the luxury purchases she knew about.

She said: “We were both earning high salaries and, due to the responsibilities of my job, rarely socialised or went on holidays.”

However, the Isle of Eriska trip suggested they were not afraid to push the boat out when they did go away together.

The baronial mansion is situated on its own 300-acre private island on the shores of Loch Creran and includes a spa, swimming pool and two high-end restaurants.

It also boasts a tennis court, nine-hole golf course, nature reserve and private beach.

The appearance of Ms Sturgeon and her husband was a major talking point for the resort’s other well-heeled guests.

They remembered first seeing the couple on July 3, 2021, and it is thought they stayed for at least four nights.

Although it is understood Ms Sturgeon’s break was interrupted with a trip back to the Central Belt for some political duties, she is said to have returned to the hotel.

In a statement issued to The Telegraph, her lawyer said: “As has been stated now on multiple occasions, Ms Sturgeon had no knowledge of Mr Murrell’s criminal conduct. These questions should be directed to Mr Murrell’s lawyers and not to Ms Sturgeon.

“However, Ms Sturgeon can confirm she settled a bill for charges incurred during that stay from her own personal account, beyond that she is unaware of Mr Murrell’s conduct. Ms Sturgeon was subject to a robust two-year police investigation and cleared of any wrongdoing.”

Pressed on whether she had paid the entire bill, or just part, he said: “You have the quote.”

Russell Findlay, the leader of the Scottish Conservatives, said: “Peter Murrell and Nicola Sturgeon enjoyed this high-end holiday just as Police Scotland was on the cusp of launching Operation Branchform.

“It is still not clear how much Murrell actually stole or whether that included any taxpayers’ money.

“What is clear is that Murrell could not have pilfered so much cash for so long without his wife, and his childhood pal John Swinney, telling everyone that the SNP accounts were sound.

“His crime spree bankrolled their luxury lifestyle, but the full picture of what was really going on can only be understood by way of a fearless and forensic independent inquiry.”

Ms Sturgeon was at the peak of her powers and popularity at the time of the Isle of Eriska trip, after winning widespread praise for the leadership and communication skills she showed during the pandemic.

The first minister had been rewarded by voters with a strong Holyrood election win two months earlier and appeared politically invincible.

Murrell, whom she had married in 2010, was her rock behind the scenes and was who she said “gave me stability amidst the madness of frontline politics”.

It was true that some of the SNP “awkward squad” had started to ask questions about what had happened to a £600,000 ring-fenced fighting fund that had been raised for a second independence referendum.

But their efforts to open the party’s books had been seen off, and she told a meeting of its ruling national executive committee in March that year that its finances had never been stronger.

Douglas Chapman had resigned as the SNP’s national treasurer in May, saying he had not “received the support of financial information required to carry out the fiduciary duties”.

However, as the couple enjoyed the delights of the hotel’s sumptuous rooms, with separate areas for sleeping and lounging, and gourmet food, the storm was still far ahead.

Fewer than five months earlier, Murrell had taken delivery of a £124,550 luxury motorhome he had bought using embezzled money and parked it outside his elderly mother’s home in Dunfermline, Fife.

The week before the Isle of Eriska trip, between June 22 and June 25, 2021, he had sold an iPad belonging to the SNP to a technology-recycling company and pocketed the £701 proceeds.

The following month, August 2021, he sold a Jaguar I-Pace he had bought with money embezzled from the party for £47,378.76. Again, the money went into his personal account.

A court hearing earlier this week heard that Murrell was “not entitled to a company car” as chief executive of the party. Ms Sturgeon was pictured with the vehicle but had said that “Peter had cars all the time” and that she had “no interest” as she did not drive at the time.

Although she said she realised a Jaguar was an “expensive car”, she reiterated that they were both earning high salaries and had separate accounts.

The hotel stay in Eriska was, perhaps, just another example of a luxury that Ms Sturgeon took for granted.

[Source: Daily Telegraph]