There have been angry scenes in the Dáil this afternoon as the Taoiseach read a statement in the debate on the Flood tribunal report.
Mr Ahern said apart from rumours he had no evidence of wrongdoing when he appointed Mr Ray Burke to the Cabinet in 1997.
He said corruption would not be tolerated and accepted that he had been misled by Mr Burke. "I condemn the corrupt activities themselves and express my sense of betrayal," he said.
The Fianna Fáil leader reacted angrily to personal allegations, saying he had never taken a bribe and criticised other parties for what he described as "rumour and innuendo".
But Fine Gael leader, Mr Enda Kenny said for two weeks, both "Fianna Fáil and the PDs have ducked and dived from the incontrovertible findings of corruption.
"Their excuse? That it was all in the past. We have been told that hindsight is perfect sight. That decisions must be based upon the facts available," Mr Kenny said.
"We have been told that this is a new Fianna Fáil," he said. "A good starting place for the Fianna Fáil would be honesty and integrity".
Labour's Ms Liz McManus said: "Deputy Bertie Ahern is the leader of our nation's government. His position as Taoiseach demands good judgment, sound convictions, full accountability and a willingness to shoulder the burden of responsibility".
Ms McManus said: "Yet Deputy Ahern has shown none of these qualities. Since the publication of the Flood Report the actions of the Taoiseach have been abject, even cowardly."
Labour's Ms Joan Burton said: "I think it is most relevant to ask the Taoiseach what he knew in early 1995 when he decided to reverse the Reynolds political exile order on Burke and bring him back to the most delicate front bench slot in his gift".
Ms Burton said: "What is indisputable is that within the Fianna Fáil Family enough was known that made any Burke return to favour unwise and reckless".