Germany yesterday dismissed Greek demands to pay World War II reparations after leftist Prime Minister Alexis Tsipras accused Berlin of using legal tricks to avoid paying compensation for the Nazi occupation of his country.

Resurrecting the highly-charged issue has done little to soothe already strained German-Greek relations as Athens strives to persuade euro zone partners to renegotiate terms of a €240 billion bailout.

Compounding tensions, a Greek minister said he was ready to endorse a court ruling allowing Athens to seize German state-owned property to compensate victims of a World War II Nazi massacre of 218 Greek civilians in the village of Distomo.

We should concentrate on current issues and what will be a good future

Berlin is keen to draw a line under the issue and officials argued yesterday that Germany has honoured its obligations, including a 115-million deutsche mark payment to Greece in 1960.

“It is our firm belief that questions of reparations and compensation have been legally and politically resolved,” Chancellor Angela Merkel’s spokesman Steffen Seibert said yesterday.

“We should concentrate on current issues and, hopefully what will be a good future,” he said, adding that the dispute did not, however, affect euro zone talks with Greece on its bailout.

Greeks have directed much of their fury over their bailout terms at Germany, the biggest financial contributor. Relations have soured further since Tsipras won a snap election in January on the back of promises to end to the worst of the budget rigour. Berlin has insisted that past commitments must be honoured. Reiterating this tough line, German Finance Minister Wolfgang Schaeuble said on Tuesday desperately needed aid would not be handed over until international lenders had agreed that Greece had delivered on its reform pledges.

Greek ministers bristled at his uncompromising tone. “Mr Schaeuble is the main supporter of failed policies in Greece and in Europe,” said Nikos Pappas, a minister without portfolio who is viewed as close to the prime minister.

“His obsession and insistence on the same policy and style are incongruous with the course towards a united and democratic Europe,” he told reporters outside the Greek Parliament.