Dr. Bruno Klaussen was a German genetic scientist in the 1940s, working for the Nazis. Nearing the end of WWII, he began developing formulas for super-soldiers, using a series of vitamins and growth chemicals. Dr. Klaussen was also experienced in the paranormal - his grandmother and father were Witches and used his magical knowledge to enhance his science. He used several copies of the serum on rats, then dogs and then monkeys. He got the same result: at first, nothing, then a tremendous growth of strength and stability, proceeded by deformity and then, death. Dr. Klaussen deduced that the serum was not right for animation subjects and decided to kidnap people when the Nazi authority would not grant him free specimens and test the serum on. After putting them in a comatose state of mentality for a short period of time, he would inject the serum into their bloodstream and an alternate serum into their brains to keep their stability. After a month of going through serum after serum and body after body, he created a final serum that showed the best results. The subject, Inga Schaffler, a twenty-two year old nurse, had the most stable neural and muscular growth activity. Although she was slowly decreasing in strength, Dr. Klaussen gave the serum to a small unit of Nazi soldiers. The soldiers fought stronger and harder and Dr. Klaussen was pleased. But when Inga had a horribly strong case of strange internal bleeding, he was horrified. Trying to save his project, he gave Inga more of the serum. What happened next was gruesome: her body started to deform, growing strange spikes on her head, knees, elbows, heels and shoulders, spiking out like dangerous barbs. Her eyes became discoloured, a deep crimson from blood veins bursting in her eyes. Along with her spikes, her teeth became more canine-like and her finger and toe nails became sharper and pointed. The cartilage in her ears cam to a point as well. Her skin became thinner as she did. Dr. Klaussen knew of a spell, using bat wings and goat hair that helped make oneself beautiful. He located the spell from his father's books and used it on Inga. When her side-effects began to diminish, he was relieved. But the spell backfired and instead, she grew small wings on her back. Dr. Klaussen, terrified of his creation, decided just to kill Inga.
Two years later in 1947, after hiding in Scotland, Dr. Klaussen was now going by the name of Heinrich Schmidt. He lived as a goat farmer in the Highlands with his new wife, Moira. One dark and windy evening, the Schmidts were awoken in the dead of night to terrible wailing from the barn. When they opened the doors, five goats had been slaughtered. The next morning, Schmidt made a trap for what he suspected to be a wolf or rabid dog. When the trap was sprung, the following night, they found, to their horror, nothing but blood, goat carcasses and burn marks on the floor where the trap had once been. Before they retreated back to their house to await the next night to catch the creature, a loud crash sounded from out in the shed. Heinrich ran to the shed to find a bleeding woman, burnt and scarred. He was about to call his wife over to help when the woman was revealed to be inhuman, possessing wings, claws, horns and the feet of a goat. Heinrich ran back to the house and grabbed a shotgun. The creature ran into the bushes upon hearing the shotgun. Moira ran to the neighbours as Heinrich ran after the beast. When he came to a steep hill, the creature was cornered, or so Heinrich thought. Before he could get a god shot, the demon spread it's wings and flew away over the Highland hills. Heinrich deduced that the creature was a daemon; created from his evils and taking appearance of Inga, the last to die.
A few weeks later, the beast snuck aboard a freight ship and hid in the brig. In the dead of night, as the ship was docked in Ellis Island, the creature snuck out. It found it's new home in the Pine Barrens of New Jersey. After a few months, the locals began raving about sightings of her, saying it was the "Jersey Devil". Becoming conscious of this, the creature left New Jersey and headed across the country, stowing away on trucks during the day and sleeping in fields and farms at night. When she reached LA, she lurked the alleys, searching dumpsters for food. One evening, two gangsters found her, too drunk to realize she wasn't human. They attacked her, and she wound up killing them. She stole their clothes and wandered through the streets. A few days later, with no food or shelter, she passed out on the backdoor of a gang headquarters. Two gangsters of the gang found her and took her in. When they searched her, they discovered her horns, tail and overall appearance, horrifying. The mob boss, Joey Peccata, decided to let her stay and explain herself. When she awoke, she explained that she didn't know what or who she was. Joey named her Lydia, after his sister who had been murdered a few years prior.
After she was taught to read and write and speak (and fight, steal, kill and swindle), she was set out into the world. When Joey died, Lydia became head of the gang and switched it's ideology and main purpose around. In 2006, after an ex-gangster spilled infor about a heist in downtown L.A., Lydia was forced to look to the PIB for security. Knowing they wouldn't help her, being a criminal, she promised to stop her criminal ways in exchange for protection. Although she began a new gang through the Syndicate, she is still a member.