In a hearing at the Royal Court on Friday the lawyers argued that the companies were entitled to “indemnity costs” – which could equate to 70 to 80% of their legal bills.

The police argue that they should only be required to pay lower “standard costs”, amounting to 60 to 70% of the bills.

The case results from a raid of the offices of two companies – which have alleged links to the Russian billionaire – in April of this year. Officers seconded to the Economic Crime and Confiscation Unit seized documents and electronic devices.

The police later accepted that the search warrants were obtained unlawfully and have paid damages, but are disputing what they should pay in costs.

Advocate Jeremy Heywood appeared for a company referred to in court only as ‘XY’, while Advocate Paul Nicholls appeared for a company referred to as ‘A’.

Advocate Steven Meiklejohn was representing States of Jersey Police.

Commissioner William Bailhache told the court he was reserving judgement. His verdict is expected in the New Year.

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