Ex-Rangers administrator David Whitehouse sues over arrest

David Whitehouse (left) and Paul Clark handled the administration process at Rangers

A former administrator at Rangers FC, arrested during the probe into the club, is suing Scotland's chief constable and most senior prosecutor.

David Whitehouse, 51, is seeking £9m from Police Scotland's Philip Gormley and Lord Advocate James Wolffe QC.

The charges against the Cheshire businessman and his colleague Paul Clark were later dropped.

Mr Gormley and Mr Wolffe claim police and prosecutors acted in accordance with correct legal procedure.

Police arrested and charged Mr Whitehouse and Mr Clark during the investigation into businessman Craig Whyte's takeover of the club in 2011.

Charges were dropped following a court hearing before judge Lord Bannatyne in June 2016.

Lawyers acting for Mr Whitehouse claimed their client was "unlawfully detained" by detectives in November 2014.

Loss of earnings

They also said that throughout the period of detention, there was no reasonable grounds to suspect that Mr Whitehouse had broken the law.

Mr Whitehouse also claimed that police obtained evidence without following proper legal procedure.

An indictment against Mr Whitehouse was issued without any "evidential basis", his lawyers said.

The actions of police and prosecutors are said to have damaged his reputation of being a first-class financial professional and led to a £1.75m loss in earnings.

On Wednesday, lawyers acting for Mr Whitehouse appeared during a short procedural hearing at the Court of Session in Edinburgh.

It emerged during proceedings that Mr Whitehouse's colleague Mr Clark is also suing the chief constable and Lord Advocate.

Judge Lord Arthurson arranged for a four-day hearing into the legal issues surrounding the case to take place at a later date.

Asset sale

Lawyers are examining whether the two actions should be rolled into a single case.

The case has emerged from the circumstances surrounding Mr Whyte's takeover of Rangers in 2011.

Mr Whitehouse and Mr Clark worked for Duff & Phelps and were appointed as administrators of the club in February 2012.

Four months later, the company's business and assets were sold to a consortium led by Charles Green for £5.5m.

Police were investigating the circumstances surrounding Craig Whyte's takeover of the club

Police Scotland launched an investigation into the circumstances surrounding the takeover.

Mr Whyte was cleared of any wrongdoing by a jury in 2017.

Mr Whitehouse believes that his human rights were breached as a consequence of the actions of the police and prosecutors.

The chief constable and the Lord Advocate claim that police and prosecutors acted in accordance with correct legal procedure.

They claim that Mr Whitehouse's human rights were not breached and that he did not suffer any loss or injury as a consequence of the actions taken by the police and prosecutors.

They also believe the case should be dismissed because the Lord Advocate is exempt from civil action from people who were the subject of a legal investigation.