Opposition parties have expressed serious concern over the statement by the PSNI Chief Constable on the IRA's involvement in the recent £22 million bank heist.
Fine Gael immediately called on the Taoiseach to withdraw concessions given to Sinn Féin on the release of the killers of Garda Jerry McCabe in the wake of the statement.
Party spokesman, Senator Brian Hayes, said: "The very clear statement today by Hugh Orde that the IRA was responsible for the Northern Bank robbery leaves Sinn Fein with very serious questions to answer. "It also raises questions about the wisdom of the Government's approach to recent negotiations with Sinn Féin.
"By carrying out this huge robbery, which was being planned at the same time as the recent political negotiations were being concluded, the Republican movement has humiliated the Irish Government that had made concession after concession to Sinn Féin.
"This elaborate and brutal crime demonstrates that the IRA has no intention of ending its criminality. It also casts some light on the reluctance of Sinn Fein to accept the need for all criminal activity to be ended.
"The Taoiseach should immediately reverse his ill-judged decision to release the murderers of Jerry McCabe, a concession which he granted to Sinn Féin while their IRA colleagues were putting the finishing touches to the plan for the biggest robbery in the history of Ireland and Britain."
The Labour Party leader, Mr Pat Rabbitte, said the statement by Mr Orde made a mockery of the IRA's "much-vaunted commitmet to a new, comprehensive agreement in furtherance of the peace process".
"One must attach great significance to the view expressed by the Chief Constable in view of the fact that he has access to intelligence information not generally available to the media or the public," he said.
"It now appears that the two governments were hoodwinked by the Republican movement during the negotiations that went on last year in regard to their supposed commitment to 'exclusively peaceful and democratic means'.
Mr Rabbitte said the disclosure put a new significance on the refusal of the IRA prior to Christmas to give an unequivocal commitment that its members would not engage in criminal activities.
"The root cause of the present distrust and political stalemate remains the use of violence and the pursuit of undemocratic means. And it's now clear that the most serious issue to have arisen since the publication of the comprehensive agreement is not the issue of photography but the issue of continuing criminality," he added.
The Green Party said it viewed the Chief Constable's statement with concern.
Green Party whip Mr Dan said the statement "raises serious questions as to the bone fide commitment of the Republican movement and those who claim to speak on its behalf".
"At any level, this represents a setback for the peace process and there is now as equal an onus on the Republican movement to fully disprove this charge as there is on Mr Orde and the PSNI to provide sufficient evidence and prosecute those involved," he said.
"The Republican movement has no one to blame but itself for being considered in these terms given its past history of criminal activity and suspected continuing involvement in these areas. It is no longer enough to say no or to deny. If the Northern Ireland peace process is to have any hope the Republican movement must distance itself as far away from any criminal activity as it is possible to be."