Edwards Lyons, 52, bought property in East Kilbride and Cumbernauld by self-certifying on mortgage applications.
He claimed 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.
Glasgow Sheriff Court heard he was caught when he applied for a car loan.
In the application he stated he was working at the Chirnside Community Initiative instead of being self-employed, the BBC reported today.
Lyons admitted defrauding £119,000 from Preferred Mortgages between May 2003 and August 2005 to buy a house in East Kilbride.
He later sold the property on, pocketing more than £74,000 in profit.
He also pled guilty to defrauding £140,000 from HBOS between June 2004 and January 2005 to buy his current home in Cumbernauld.
Edward Lyons failed to disclose accurate information to mortgage companies in a deliberate ploy to defraud them of money
Lyons also admitted an offence under the proceeds of crime act for giving his daughter £30,000 to buy a tanning salon in Dundee, using profits from the sale of the East Kilbride house.
The court heard that there had been no loss to the mortgage providers as Lyons had paid the mortgage on the East Kilbride house in full when he sold it and has kept up-to-date with payments on his current home.
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.
Sheriff Robert Anthony deferred sentence until next month for background reports and Lyons was released on bail.
The Crown advised the court that it would be seeking to recover the proceeds of Lyons' crimes by a confiscation order.
Its director of operations, Scott Pattison, said: "Edward Lyons failed to disclose accurate information to mortgage companies in a deliberate ploy to defraud them of money. This involved a gross abuse of trust.
"The Crown Office specialist National Casework Division is committed to working with other agencies to ensure that financial crime is investigated robustly and where there is sufficient evidence, that perpetrators of these crimes are prosecuted.
"We aim to ensure that crime does not pay."
