An army interpreter accused of passing secret information to "the enemy" protested his innocence as he was sent to the Old Bailey to stand trial.

Corporal Daniel James, 44, of Cliff Road, Brighton, spoke as he was led from the dock following a hearing at City of Westminster Magistrates Court.

He did not make a formal plea but said as he left the courtroom: "Not guilty. This is the way the Army has repaid me."

His solicitor David Martin, speaking outside the central London court, said James was distressed by the "false allegation apparently being made by the very people he served so loyally" and would clear his name.

The Iranian-born Territorial Army soldier, who became a British citizen in 1986, is charged with an offence under the Official Secrets Act 1911.

The indictment alleges that on November 2, for a purpose prejudicial to the safety of the state, he "communicated to another person information calculated to be or that might be or intended to be directly or indirectly useful to the enemy".

Mr Martin said later: "As you heard personally from my client Corporal James when he spoke in court, he's innocent of the charge.

"He served with the British Army for almost 20 years in any way that he has been called to do so irrespective of religious or political considerations and he's been proud to do so.

"He's distressed by the false allegation apparently being made by the very people he served so loyally.

"He's looking forward to presenting his case in court and answering the allegation made and clearing his name as he's absolutely confident he will do."

During the hearing, a bail application was held in camera by Senior District Judge Timothy Workman, who refused the request and remanded James in custody.

Mr Workman said holding the session in secret was necessary as information was heard that could "prejudice the security and safety of the state".

Due to the nature of the alleged offence, Attorney-General Lord Goldsmith must give his consent for the case being sent to crown court before James enters a plea.

Mr Workman set the date of January 12 for a preliminary hearing at the Old Bailey.

James was an interpreter for General David Richards, British Commander of Nato forces in Afghanistan, and is accused of divulging secrets to Iran.

He is said to speak fluent Pashtun, the main language in Afghanistan.

James is thought to have arrived in Britain from the Iranian capital of Tehran aged 17, following the overthrow of the Shah. He changed his name ten years ago.

He is well known in Brighton as Danny J, a salsa teacher who once owned Club New York in Dyke Road, now The Church. He is believed to have taught at leisure centres and other clubs in Brighton before taking over the night spot six years ago.