She explained that she recognised the Turkish Republic of Northern Cyprus and pleaded ignorance to the fact that Mr Apostolides had been forced out and had to abandon his land during the 1974 Turkish invasion, the newspaper said.

Mr Apostolides’s lawyer, Constantis Candounas, argued that the Turkish-run state was not recognised by anyone apart from Turkey, and property seized from Greek Cypriot refugees by force could not be legally sold.

Gunes Mentes, for Mrs Orams, presented the title deeds to the property, which she said had been issued by the land office in the north.

The former museum assistant said: “Turkey recognises it, I recognise the Turkish republic of northern Cyprus, and Hassan

the Turkish Cypriot man they bought the property from] had the necessary titles.”

Mrs Orams said they bought the property in good faith and everything was done “according to the rules”.

Mr Candounas said Mr Apostolides’s home had been purchased by him and did not belong to a Turkish Cypriot.

But Mrs Orams countered: “Apostolides claims we acquired the land illegally; I deny this.

“We followed all rules and regulations and laws of TRNC.

“We love Cyprus and we want to live here.”

Cyprus has been divided since the Turkish invasion of 1974 by the “Green Line” which separates the “Turkish Republic of Northern Cyprus” from the rest of the island.

The TRNC is not recognised by the British Government.

The Foreign Office warns that this and the possibility of a future political settlement in Cyprus could have “significant practical or financial implications” for those considering buying property in the north.

It “strongly advises” anyone looking to buy in Cyprus to seek independent qualified legal advice.

The case was adjourned until January 21, when the two sides will present their closing arguments.