Taoiseach Brian Cowen has rejected any suggestions of impropriety in his dealings with the former Anglo Irish chairman Sean FitzPatrick.
In a statement issued this evening, Mr Cowen again insisted no discussions about Anglo Irish occurred during a golf outing with the disgraced banker two months before the controversial bank guarantee in September 2008.
Mr Cowen said "the continuing attempt to suggest that the Government's approach to the affairs of Anglo Irish Bank was influenced by political or any inappropriate considerations is utterly without foundation."
In his statement the Taoiseach said he wanted to take the opportunity "to utterly refute any suggestions of impropriety" on his part arising out of the recent publication of a book about Sean Fitzpatrick.
The book is based in part on 18 recorded interviews with Mr FitzPatrick, the last which took place on November 30th, 2010. It covers a number of previously undisclosed contacts Mr Cowen had with the former banker in the period when Anglo was heading towards collapse.
Mr Cowen said the round of golf with Mr FitzPatrick, which took place in July 2008, was a social outing.
"There was nothing untoward, no hidden or secret agenda and no concessions, favours or interventions requested or granted. Certain people are drawing inferences for political and other motives, they are malicious, unfounded and have no basis in fact," he said.
Mr Cowen again confirmed that, in March 2008, when he was minister for finance, he took a call from Mr FitzPatrick relating to Anglo's shares, the price of which was collapsing.
He insisted that prior to talking to Mr FitzPatrick he had been informed by the Governor of the Central Bank "that a situation was developing in regard to the contracts for difference issue in Anglo Irish Bank."
"The Central Bank and the Regulator subsequently followed up on the issue at a meeting with Anglo Irish Bank which I understand was held in the Central Bank Headquarters on Good Friday the 21st March 2008," said Mr Cowen.
The Taoiseach and the leader of the Green Party John Gormley held a phone call earlier today to discuss the latest revelations regarding Mr Cowen's relationship with Mr Fitzpatrick.
Speaking this morning, Fine Gael's Leo Varadkar said the relationship between Mr FitzPatrick and the Taoiseach was "a little bit closer than previously thought".
He said Mr Cowen was "not forthcoming" in the Dáil when party leader Enda Kenny had questioned him over the relationship. Mr Varadkar added the latest revelations indicated the Taoiseach "knew a little bit more" about the emerging banking crisis that thought.
In the book, Mr FitzPatrick said that at a dinner with Anglo directors and executives in April 2008, when Mr Cowen was minister for finance and about to become taoiseach, he was asked about the National Treasury Management Agency putting more funds on deposit in the bank.
"He said he'd look into it," the banker is quoted as saying.
Green chairman Senator Dan Boyle said his party was taking "very seriously" the disclosures in the book, The FitzPatrick Tapes .
Fine Gael justice spokesman Alan Shatter said the revelations were "extremely serious", adding that if Green Ministers were unaware of the contacts then "there has been a total breakdown of trust in Government, and it is untenable that the Green Party continues in office for a further day with Fianna Fáil".
Labour's spokeswoman on finance Joan Burton said it was "beyond belief that there was no discussion at these encounters of the rapidly deteriorating position of the bank".
The new book, by journalists Tom Lyons and Brian Carey, is based on interviews given to them by Mr FitzPatrick who, according to the book, saw the process as an opportunity "of giving my side of the story".
Gardaí are conducting extensive inquiries into matters at Anglo Irish Bank, including the treatment of loans Mr FitzPatrick had from the bank and which were not disclosed in its accounts.
They are also investigating loans by the bank to clients who bought some of Mr Quinn's massive Anglo exposure, in an exercise aimed at supporting the Anglo share price.