The Tanaiste has moved to qualify her party's support for the Taoiseach for the first time since the minority coalition was formed 19 months ago.
The shift in solidarity between the Progressive Democrats and Fianna Fail emerged following an hour-long meeting between Ms Harney, Mr Bobby Molloy and Mr Ahern in the Taoiseach's office in Government Buildings last evening. They had a "comprehensive and frank discussion", according to spokesmen, about the conflict of evidence between the Taois each and London builder Mr Tom Gilmartin on the nature of the contacts between them in 1989.
The Tanaiste's spokesman repeatedly stated afterwards: "The Taoiseach hotly disputes Mr Gilmartin's allegations and, as of now, we have no reason not to believe him."
The form of words used by Ms Harney's spokesman has re-introduced the concept of "qualified support" within Cabinet. It was first offered by the late Mr George Colley to Mr Charles Haughey after he won the Fianna Fail leadership almost 20 years ago.
It immediately changes the nature of the relationship in the coalition, a change the Opposition parties are determined to exploit when the Dail resumes tomorrow. The four Independent TDs on whom the minority Government relies, Mr Harry Blaney, Mr Thomas Gildea, Ms Mildred Fox and Mr Jackie Healy-Rae, have sought a meeting with the Taoiseach today about the controversy.
Both Mr Ahern and Ms Harney put the focus on the position of the EU Commissioner, Mr Flynn, yesterday. While the Taoiseach said it would be "helpful if the Commissioner said something, but that is a matter for the Commissioner", the Tanaiste said his position was "impossible, quite honestly".
Mr Flynn indicated that he had no intention of resigning when he stated in Brussels that he had "important work to do in the coming weeks and months". As far as he was concerned, it was "business as usual".
In Dublin, spokesmen for the Taoiseach and the Tanaiste agreed last night that Mr Ahern told his PD partners "all of the details as he knew them" about his contact with Mr Gilmartin, "which he had already made public in the media" over the past two days.
He also told them the Minister of State for Labour Affairs, Mr Tom Kitt, was continuing to search for Mr Ahern's ministerial diaries for 1989 to see if there was any evidence of other meetings with Mr Gilmartin.
It is understood that Mr Ahern checked his own diaries at his constituency base, St Luke's, yesterday and there were no records of any meetings.
The Taoiseach contested Mr Gilmartin's allegations again yesterday, repeating that he had no recollection of meeting him "other than once, and I have no recollection whatsoever of having a conversation with him". Mr Gil martin has alleged that Mr Ahern asked him for a donation in a telephone conversation, only to be informed that £50,000 had been given to Mr Flynn. Asked why Mr Ahern could not issue a direct denial of Mr Gilmartin's claims, his spokesman said the Taoiseach had "no worries" about the allegation that he had asked him for money. "He just can't say with his hand on his heart that he met Mr Gilmartin only once."
Asked if the Tanaiste was "satisfied" with Mr Ahern's assurances, as the PDs were after the investigations into Mr Ray Burke, their spokesman said: "Obviously we are concerned with all of these revelations. But are we pulling out of Government? No."
Asked if the episode was now closed, he stated: "As of now, we have no reason not to believe him. With two sitting tribunals, nothing is closed." The Fine Gael leader, John Bruton, said there was a fundamental contradiction at the heart of the Taoiseach's handling of Mr Tom Gilmartin's allegations which the Tanaiste had to deal with.