A businessman is being pursued for €1.32 million by Friends First Finance over a loan for an equity fund investment in the Marriott Hotel UK chain.

The proceedings against Derek Maguire, Gareg Wen, Knocksinna, Foxrock, Dublin, were transferred to the Commercial Court yesterday by Mr Justice Peter Kelly.

Friends First says it advanced Mr Maguire €1.5 million in July 2007 under a revolving credit facility, involving interest payments of €7,562 a month over 60 months and a “balloon” payment of €1.5 million. Security was provided in an irrevocable letter from “Quinlan Private” equity firm set up by businessman Derek Quinlan.

Mr Maguire allegedly defaulted on the payments and Friends First terminated the agreement in June 2012 and demanded the outstanding amount of €1.32 million, including instalment arrears.