Glasgow 'gangster' in crime cash action

Lyons is facing Crown action under Proceeds of Crime legislation

A member of a notorious Glasgow crime family is facing legal action which could force him to pay back cash he gained from £259,00 in mortgage frauds.

Edward Lyons was given 300 hours community service in April for lying in self-certified mortgage applications.

The 52-year-old appeared at Glasgow Sheriff Court on Wednesday as part of a Crown action brought under the Proceeds of Crime Act.

The case was continued until October to give both parties more time to prepare.

At an earlier hearing, Lyons, from Cumbernauld, North Lanarkshire, admitted defrauding £119,000 from Preferred Mortgages between May 2003 and August 2005 to buy a house in East Kilbride.

He also pleaded guilty to defrauding £140,000 from HBOS between June 2004 and January 2005 to buy his current home in Cumbernauld.

Lyons also admitted an offence under the act for giving his daughter £30,000 to buy a tanning salon in Dundee, using profits from the sale of the East Kilbride house.

'Family feud'

The court heard that Lyons told lenders he was self-employed and earning up to £48,000-a-year when he was actually working at a community initiative earning just £20,000.

He bought the properties by self-certifying on mortgage applications but was eventually caught out when he applied for a car loan and stated his correct pay.

Lyons, who is alleged to be in a long-running feud with another notorious crime family, was cleared of attempted murder in 2001.

The community centre where he worked was closed down in 2006 after his nephew Michael was shot dead and his son was seriously injured.

Police also seized £63,000 from his home in 2004 for alleged drug dealing.