A sex cinema where men allegedly performed sex acts on one other and couples were said to have orgies could finally be closed – nine months after it gave up its licence.

On an undercover visit to Fantasy Video, in City Road, Finsbury, more than a year ago, a council official was touched on the thigh and reported seeing six men standing in the cinema performing sex acts on one another.

People who live nearby described the venue as “like something from Amsterdam’s red light district” and were furious because it seemed to be operating as usual despite the proprietor handing in his license back in October.

But on Tuesday this week the High Court handed down an order to stop trading, which means the owners could be arrested if they carry on.

Cllr Paul Convery, Islington Council’s executive member for community safety, said: “I think we might still be in for a long arm wrestle with the owner. By alll accounts he is quite a surreal individual who turned up to court in shorts and flip-flops.

“So who knows what he will do next, but if he doesn’t stop he will go to jail.

“He has been playing ping-pong with us every step of the way, but we are getting nearer and nearer the ultimate stage where a judge will send him down.

“The public are sick of it and they call in every time he is operating.

“Other local authorities might have given up, but not us.”

One neighbour who lives off City Road but asked not to be named said: “This appears to be great news and I’m quietly optimistic

“Cllr Convery has done a great job with this but it does beg the question, why did it take so long after the licence was given up?

“Myself, my family, along with other local residents, especially women and girls, will now feel much safer and more at ease walking down City Road.

“Maybe the last remnants of seedy 70s Kings Cross are finally being put to rest.”

No-one from Fantasy Cinema was available for comment, but in May a member of staff claimed a new business was occupying the premises called Mr B Nightclub, which they claimed was fully licenced.

The council said no licence had been issued.