Craig Whyte “laughed” when his lawyer advised him to walk away from Rangers deal

Craig Whyte “laughed” when his lawyer advised him to walk away from the Rangers take over, a court heard.

Gary Withey claimed he advised Whyte not to go ahead with the deal because he “didn't like the feel of the transaction”.

Giving evidence for a fourth day at the High Court in Glasgow at Whyte's trial, he said Whyte had no experience of football clubs and didn't think he knew what he was getting himself in to.

Whyte, 46, denies a charge of fraud and a second allegation under the Companies Act in connection with his May 2011 takeover.

Mr Withey, a corporate lawyer had worked for English firm Collyer Bristow and was instructed in the takeover talks after meeting Whyte in mid-2010.

Advocate depute Alex Prentice QC asked Mr Withey: "Why did you tell Mr Whyte to walk away?"

He replied: "Because I didn't like the transaction."

Asked why that was he replied: "I felt as though there were too many things to be discovered.

"It as also information was having to be pulled out."

Mr Prentice what the purpose of him giving Whyte advice and said "It was my opinion at the time".

And, that he didn't think Whyte "knew what he was getting in to".

Mr Withey was asked: "What as his response every time you raised this?"

The witness replied: "He would laugh".

The prosecutor asked Mr Withey how he responded to that and he said: "He's the client."

Jurors heard Mr Withey was "concerned" that the Murray group would not go through with the takeover if they knew how it would be funded.

Asked why, the witness said: "Because they probably wouldn't have liked the thought of him using Ticketus."

He told the court that the proposal was "not concealed but it wasn't revealed".

Mr Withey said they were instructed by Whyte not to reveal it.

He also said that if the takeover panel required the information it "had to be shown".

The witness claimed Whyte said it was thought the Murray group would walk away if they knew.

The court heard from private investor Ross Bryan who was an investment manager with Octopus Capital between 2009 and 2012.

He explained Octopus was an umbrella company that invests money for clients and Ticketus was one of the investment products.

Ticketus bought tickets for events at a reduced rate and appointed another company to sell them on.

Mr Bryan said it was common with football tickets to pass them back to the clubs to sell them.

He identified Whyte in the dock and said he met him in September or October 2010 after being contacted by a broker who said Whyte “might want to acquire Glasgow Rangers”.

Advocate depute Alex Prentice QC, prosecuting, asked: “Prior to that conversation were you aware of the possibility of Rangers being for sale?”

Mr Bryan said he only heard of previous bids he had read in newspapers.

Asked what was discussed at the meeting with Whyte he said: “In very broad terms, Mr Whyte explained that he was from this neck of the woods, a fan of the club and would be interested in making an offer to the owner to see if they would sell.”

He said he explained the Ticketus procedure and said the discussion was “specific to Rangers and acquisition of the club”.

Mr Bryan was asked if he was aware at the time Sir David Murray owned the majority of shares in Rangers.

He told the court that after Christmas when the deal hadn't closed, the firm were “keen” to make sure Sir David knew they were involved or that a financial institution was involved.

Whyte denies the charges and the trial continues.