The sister of police killer Dale Cregan and her drug dealer partner have been hit with £1m ‘gangster tax’ bill.

William ‘Billy’ Black, 51, the former long-term partner of Cregan’s sister, Stacey Cregan, 30, headed lucrative crime rackets in Tameside and east Manchester.

Now Black has been ordered to hand over £999,000 – or get another seven years on top of the 15 he is already serving.

Meanwhile Stacey Cregan, 30, will lose the Rolex watches she collected while laundering cash from Black’s offending.

The Proceeds of Crime Act – nicknamed ‘gangster tax’ – allows the authorities to target villains’ ill-gotten gains.

Black appeared devastated as he learnt he was to lose all his assets – including a string of properties in Tameside - in a Manchester Crown Court Proceeds of Crime Act hearing.

Meanwhile Stacey Cregan, who was living with Black at the time of her brother’s murder rampage, has been hit with a £20,000 POCA bill.

Prosecutor Nick Clarke QC told Manchester Crown Court that Black made £1.5m from crime – of which £999,000 is recoverable.

The amount will be recovered by the sale of 18 houses, his Rolex watches, a VW Golf, bank accounts, jewellery recovered from his wardrobe and wads of cash found by police in his laundry basket.

Prosecutors can return to recover the outstanding £500,000 if circumstances change.

Stacey Cregan was found to have benefited from crime to the tune of £30,000, of which £19,000 is recoverable. That sum will be raised from the sale of four Rolex watches.

Black was caught out in 2012 when the home he shared with Stacey Cregan at Waverley Crescent, Droylsden, was searched by police looking for her brother over the murders of father and son David and Mark Short in 2012.

Black claimed to be a small businessman scraping by but the cash and jewellery seized from the property told a different story. As detectives examined his Rolexes he told them: “ Look after them. I’ll be wanting them back after the trial.”

Five days after the raid Dale Cregan murdered police officers Fiona Bone and Nicola Hughes in a gun and grenade attack in Hattersley.

More jewellery belonging to Stacey Cregan was seized in a separate raid in 2013. She was found guilty of money laundering last year and handed a suspended sentence.

Meanwhile Black was jailed for 15 years after he was found guilty of fraud, drugs and money laundering offences.

Making the confiscation order against Black in Wednesday’s POCA hearing, Judge Martin Steiger QC said: “That figure must be paid within three months or the defendant suffer seven years imprisonment in default, consecutive to his current 15 year sentence.”