THE £30m property in north London was repossessed after a pitched legal battle between a senior Pakistani politician and one of the world’s most powerful banks.

Senator Waqar Ahmed Khan, a former privatisation minister, is a member of the Khan political dynasty, which has included four senators serving at the same time.

They took a £50million loan with Deutsche Bank against the value of the house. They planned to use the money to redevelop Dryades, and also to buy another property on The Bishops Avenue.

But the bank claimed the loan had fallen into default after the value of the property sank below the outstanding value of the loan, leading to a battle in court to reclaim the money.

As well as claiming Dryades from the family, Deutsche Bank also sought possession of a portfolio of six flats in Knightsbridge, central London, worth a total of £40m.

The family attempted to turn the tables on the bank, however, by claiming that they had withheld some of the money which they had agreed to lend.

This, according to the Khans, meant they had been unable to press on with redevelopment and make back enough money to repay the loan.

They also claimed that a ‘trusted’ Deutsche Bank adviser had come to them with the loan proposal in the first place.

However, the High Court judge in the case, Mr Justice Hamblen, rejected the defence and the bank won its right to pursue the Khans for the outstanding loan, plus substantial interest.