Scottish mortgage rackets face crackdown

POLICE and tax inspectors are cracking down on Scottish gangsters who are running 200 mortgages at a time.

As many families struggle to get a single mortgage, crime bosses are “ludicrously” able to pay off hundreds through fraud, police say.

They have proposed a fee which will be placed on top of every new mortgage application which will help prevent organised crime abusing the system.

HM Revenue and Customs is also checking income claims are accurate and in line with tax payments.

Detective Chief Superintendent John Cuddihy, head of serious organised crime and couter terrorism with Strathclyde Police, said: “Crime groups can operate 200 mortgages.

“If it were you or I we would struggle to get a second mortgage , but they manage to get 200.

“They are then able to move other serious organised crime families into those houses.

“The equity or value of the house this year may be £100,000. Next year they will push it on to another organised crime family and overvalue it at £120,000. If you multiply it by 200 you can see how they’re making their money.”