The original structure dating from 1630, opposite the Catholic Holy Cathedral of St Jacob, housed the Palace of the Archbishop of the Catholic Church. When the French Republic conquered the Seven Islands in 1798, they confiscated the building and housed administrative services there. Such use continued into the Septinsular Republic and also the United States of the Ionian Islands. After the union of the Ionian Islands with Greece (1864), the building was used as the island's courthouse. The building was burned down by the Nazi air raids of 1943. Until very recently, the renovated building was used by the Bank of Greece.