A bank-appointed receiver has claimed he is being denied possession of a number of Dublin properties because they have been partly leased out as a holiday hostel without the bank’s permission.

Martin Ferris was appointed receiver by Danske Bank last December over a number of properties at Charlemont Street, including premises in which the Citi Hostel operates.

Mr Ferris yesterday asked the High Court to grant an injunction requiring landlord John Meagher and his tenant, Echoford Ltd, the company operating the hostel, to hand over possession of the properties. Mr Ferris claims Mr Meagher had no right to lease the premises to Echoford without the bank's permission.

The bank appointed the receiver over alleged unpaid arrears of €7 million in refinancing loans given by the bank to Mr Meagher in 2000 and 2003, including for purchase of properties in Charlemont Street.

The injunction is being sought against Mr Meagher, who was not in court or represented, and against Echoford, which says Mr Meagher no longer has any beneficial interest in the company.