Seeing as how I'm still working on the revamp, I don't see a problem with lizardfolk.
*however* the CoC will apply to anyone and everyone who does play a lizardfolk.
Evil isnt the issue, of course there are evil people/creatures in any city, if you can comfortably play an evil character and remain within the CoC then by all means of course you may.
If cannibalism becomes a roleplaying issue, it would need to be taken I think to the fighting pit, I doubt the intended victim would want to be eaten,or go easily and definately keep discretion in mind in reguards to violence, etc.
They certainly wouldn't be a commonplace race within the city, but I don't think it'd be unheard of to see one. Keep in mind, People may not react kindly to seeing a lizardfolk.
Nash