Taoiseach Bertie Ahern has told the Dáil that he had made an error of judgment when he accepted loans and gifts in 1993 and 1994 but insisted that by doing so he had not been in any breach of law or code of conduct.
"I now regret the choices I made in those difficult and dark times. The bewilderment caused to the public about recent revelations have been deeply upsetting for me and others near and dear to me.
"To them, Ceann Comhairle, to the Irish people, to this house I offer my apologies," the Taoiseach concluded.
Mr Ahern made a 15-minute statement after which the leaders of Fine Gael, Labour, the Green Party, and Sinn Féin, and Socialist Party TD Joe Higgins on behalf of the Independents group were allowed to make five-minute statements.
The Taoiseach will then have five minutes to respond.
The Taoiseach said that if he had "anticipated in 1993 and 1994 that my decision to accept loans from friends or the gifts of monies in Manchester would cause such difficulties and the media intrusion for my family and friends that would give rise to a distortion of my motives and a misrepresentation of my conduct, I would not have accepted a penny."
During the 15-minute long statement, Mr Ahern told a packed Dail that he had broken no law or ethics guidelines in accepting money.
He said the Ir£7,938.49 gift he received in Manchester in 1994 was not liable for tax as it fell short of the Ir£11,000 gift tax ceiling that was applicable that year.
Mr Ahern insisted that the Manchester money was a gift because he had not gone to Manchester in a Ministerial capacity. He said that he had long had an affinity with Manchester and was over to attend a Manchester United match with friends. He said he had paid for his own travel and accommodation expenses.
Outlining the details of the Manchester function Mr Ahern said: "This dinner was organised by the late Mr Tim Kilroe in the Four Seasons Hotel in Manchester. I had a long personal history with Mr Kilroe, whom I counted as a friend.
"At the end of the dinner, unsolicited by me, I was presented with cash of circa Sterling £8,000 made up by individual contributions from the attendance of approximately 25 people. Mr Kilroe presented the monies to me and I presume he had collected them as well.
"Unfortunately, Mr Kilroe has since died, and it is not possible to obtain any list of attendees or contributors at this remove, 12 years later," he said.
Responding to the Taoiseach's statement, Fine Gael Leader Enda Kenny asked: "Why was it wrong to accept a whiparound in Dublin, but right in Manchester. Was it because it was taxable in Dublin and not in Manchester".
Labour leader Pat Rabbitte said if a civil servant had did what the Taoiseach did, he would be fired.
It emerged this weekend that Mr Ahern repaid loans he took from a group of friends when he was going through his marriage separation in 1993 and 1994. He is understood to have issued cheques totalling over €90,000 - when interest is taken into account - to cover the loans.