The Northern Secretary, Dr Mo Mowlam, has said she was ready to act on any evidence linking paramilitary groups on ceasefire to the killing of Lurgan solicitor Ms Rosemary Nelson.
Security sources in recent days have been reported as saying they believe some of the suspects in the killing of Ms Nelson were linked to the Loyalist Volunteer Force (LVF), which is officially on ceasefire. However, other loyalist sources insist the UDA/UFF was involved, not the LVF.
While in her judgment the ceasefires were holding, Dr Mowlam said she was keeping the situation under constant review. "I am monitoring the situation closely and should I judge it right to act using the powers available to me, I shall not hesitate to do so," she added.
She went on to say recent attacks like that on Ms Nelson and the escalating round of terrorist attacks were of the "gravest concern". Neither the RUC nor Mr Colin Port, the senior English police officer in charge of the murder investigation, would comment on reports regarding the LVF's involvement in Ms Nelson's killing.
But Mr Michael McGimpsey, the Ulster Unionist Party security spokesman, said if they were true it was a very serious development and called on Dr Mowlam to speak out. He said such acts of violence were clearly intended to destabilise society and in effect wreck the Belfast Agreement. There were "obviously very serious ramifications for the political process", Mr McGimpsey said.
Dr Mowlam said she had also had discussions with the Chief Constable, Sir Ronnie Flanagan, regarding the escalating number of paramilitary attacks. "Both republican and loyalist groupings have been responsible, with the majority allegedly being carried out by loyalists. These attacks must stop," she said.
The Sinn Fein president, Mr Gerry Adams, said the reports confirmed his claims about LVF involvement in the killing of Ms Nelson. "Several weeks ago I said that the LVF and UDA cessations were over. This is patently true."
The LVF has denied any involvement in the killing of Ms Nelson.