Anglo Irish Bank has begun legal proceedings against former Chief Executive David Drumm, looking for the repayment of loans of more than €8 million.
The proceedings were admitted to the Commercial Court list today.
The bank has also begun separate proceedings against Mr Drumm and his wife, Lorraine Drumm, over the transfer of a property in Malahide in Dublin into the sole name of Mrs Drumm.
The loans were granted between May 2007 and early January this year.
It says Mr Drumm, who is currently living in the US, has not made any realistic proposal to pay this debt.
Lawyers for Mr Drumm told the Commercial Court that he had a number of grounds of defence to the demand for payment by Anglo.
Senior Counsel Brian O'Moore told the court there had been an agreement between Mr Drumm and the bank that no demand for the largest loan - of almost €8m - would be made until January next year at the earliest.
This is denied by the bank. Mr Drumm is also counter claiming for €2.6m for the termination of his employment plus a bonus he says he is entitled to.
Mr Drumm resigned from Anglo Irish Bank a year ago.
The bank has also claimed that the transfer of a house in Malahide belonging to Mr and Mrs Drumm solely into Lorraine Drumm's name was not legitimate.
It claims this was a ‘fraudulent conveyance’.
The house in Abington, in Malahide, was recently withdrawn from the market at a price of €2.3m.
Anglo claims that the transfer of the property into Mrs Drumm's sole name, will hinder, delay, or possibly defeat the ability of the bank to enforce any judgment it gets in its claim for the repayment of the loans of €8m.
