In the largest seizure ever made by a Scottish force, more than £173,000 in £10 and £20 notes was recovered from two individuals who claimed to have made money in the property boom.

However, when given the opportunity to contest how the money was made, the Kilmarnock couple failed to turn up in court on three occasions and the sheriff granted the confiscation of the funds.

Thousands of £10 and £20 notes were found in clothing drawers, wardrobes and under other furniture when officers raided the properties.

John McDaid, 29, and Deborah McIlvanney, 24, were convicted of mortgage fraud last summer and sentenced to just 100 hours’ punishment each, for masterminding an elaborate buy-to-let housing scam.

The court heard that the former couple were originally investigated for money laundering and drug trafficking. Both McDaid and McIlvanney initially refused to answer questions from detectives.

McDaid, who already had six convictions, was initially charged with money laundering but these charges were later dropped.

The properties bought by the couple had not been sold to release equity and no defence was given as to how they had made the cash.

A source said: “Normally people contest part or all of the money and try to claim they earned it legally but they didn’t even turn up.”

Both now also face further actions to seize the properties under the Proceeds of Crime Act.

In an operation that began in 2006, a number of houses connected to McDaid were raided.

A spokesman for Strathclyde Police said: “It is the largest-ever cash seizure by a Scottish force. It is an excellent example of frontline officers utilising the Proceeds of Crime Act (Poca).

“In total there was £173,840 seized in cash from two properties in the Kilmarnock area. These monies have now been forfeited and will be available to Scottish ministers to be re-invested in the communities blighted by serious organised crime.”

When passing sentence, the sheriff attacked the “lax and laissez faire” banking system that saw lenders “tripping over each other” to lend the pair money.

The former couple had used bogus employers and inflated incomes to dupe high street lenders into helping them on to the property ladder.

The sheriff explained his lesser sentence was based on evidence that no loss had been suffered by those lending the money as the loans were secured on the properties concerned and interest payments had continued to be made.

McDaid was a tax adviser with HM Revenue and Customs and graduate McIlvanney was a management trainee with drinks giant Diageo when they were arrested.But the sheriff said the implications for 24-year-old McIlvanney were greater because she was a first offender and the offence was a serious blemish on her character, whereas McDaid, 29, has six previous convictions.