UPDATE : We have obtained a copy of the video referred to in relation to this matter.
For legal reasons we will not yet broadcast it.
However, legally we can identify the priest as Fr Edward Gallagher, currently serving in Lifford, and originally from Derry.
The Diocese of Derry has confirmed it is aware of an alleged incident outside a hotel in Derry involving a priest of the diocese.
It comes after videos circulated online of a man in clerical garb being challenged by self-styled "paedophile hunters”.
The PSNI say a 58-year-old man was arrested at a hotel in Derry on suspicion of alleged attempted sexual communication with a child.
A spokesperson for the PSNI said, “A 58-year-old man was arrested on Thursday, April 17, on suspicion of alleged attempted sexual communication with a child.
"He remains in police custody at this time.
“There are no further details."
The Diocese of Derry said they are aware of the incident and a video circulating on social media.
A spokesperson for the Diocese said, “The Diocese of Derry is aware of an alleged incident outside a hotel in Derry city involving a priest of this diocese.
"The diocese knows that a video of the incident has been posted on-line and we understand the PSNI have been involved.
"Currently, the diocese has no further information.”
The Catholic Church was contacted for comment. It shared the same statement issued by the diocese.
The Diocese of Derry serves the Catholic congregation of 51 parishes across almost all of Co Derry, parts of Co Tyrone and Co Donegal, and a small area across the River Bann in Co Antrim.