Charity Founder Faces Jail After Admitting Embezzling £7,000 From Group’s Cash

The founder of a Highland charity for bereaved families was facing jail last night after he admitted using the forged signature of a local politician to try to obtain over £220,000.

Neil Gillies, 51, formed the Highlands and Islands Support Group for Grieving Families following the death of his son, Kevin, who was hit by a taxi on Skye on Christmas Eve 1999.

But at Inverness Sheriff Court yesterday, Gillies admitted embezzling almost £7,000 from the charity and its sub-group, the Suicide Awareness Group, over about eight months between 2004 and 2005.

He also admitted applying for £221,772 from the Lloyd’s TSB Foundation in Edinburgh using an application with the forged signature of Mary Scanlon, who was then a Conservative MSP for the Highlands and Islands.

Last night the ex-politician, who had been interviewed by detectives investigating Gillies, described it as a “tragic case”.

She said: “The real tragedy is that people gave in good faith and felt that these families had a terrible loss – the majority of those that took their own lives were young men.

“I am delighted that the other members of the Suicide Awareness Group raised their suspicions and contacted the police and the charity regulator because this case has been brought forward by the diligence of other group members.”

It is understood Ms Scanlon instigated an independent report on the group after revealing her “unease” about certain issues shortly after it was set up in September 2004.

It was prepared by Scottish Business in the Community and was passed to Northern Constabulary and the office of the Scottish Charities Regulator.

Gillies’s wife, Flora, was also in court yesterday charged with embezzlement but her not guilty plea was accepted.

Gillies, of 302 Meadowside Quay Walk, Glasgow, pleaded guilty to embezzling £6,826 while he was the administrator of both groups between June 29, 2004 and March 3, 2005.

And he admitted uttering as genuine an application form with a forged signature for more than £220,000 from Lloyds TSB Foundation in Edinburgh on October 20, 2003.

Sheriff Derek Pyle deferred sentence until February 20 for social inquiry and community service reports. A confiscation order has also been made against Gillies and a hearing will be held on the same day.

Law expert Jennifer Ross, of Strathclyde University, said the sheriff could sentence Gillies to three years’ imprisonment for the common law offence.

But the sheriff could refer the case to the High Court if he felt it was serious enough.

Gillies, an engineer, and his wife were living at Conon Bridge at the time of their son’s death.

A fatal accident inquiry concluded that he was struck as he lay on the Portree to Uig road after a heavy drinking session. But the couple campaigned for a new investigation, claiming police bungled the inquiry.

Their efforts led to Crown Office officials accepting that mistakes were made, including that a pathologist was wrong to say that Kevin had drunk 20 pints of beer that night.

Gillies set up the Highlands and Islands Support Group for Grieving Families in September 2003, and was inundated with called from families across the region. A separate suicide group was formed in summer 2004.

He left the suicide group in October 2004 and later claimed he was the victim of a smear campaign when police began investigating claims of financial mismanagement. Joyce Plent, secretary of the Suicide Awareness Group, declined to comment on the case yesterday.