The millionaire businessman Mr J.P. McManus does not intend to change the conditions of a €63.5 million donation for a national stadium so that it can be used to fund the redevelopment of Lansdowne Road.
Sources close to the racing tycoon have indicated that the Lansdowne project would breach three of the basic conditions of Mr McManus's offer, which was made more than five years ago.
In 2000 Mr McManus made the funds available to the State through an escrow account in Switzerland.
The offer was made on the basis that it would be a State-owned national stadium with a capacity of 80,000 people on a new site, with no private-sector involvement.
"Lansdowne qualifies under none of them," a source close to Mr McManus said.
It is understood that Mr McManus may have still been willing to make the donation in the event of a smaller stadium being proposed for the Abbotstown site.
A smaller stadium on that site was the alternative to the Lansdowne redevelopment and was favoured by the Taoiseach.
Since the original Abbotsown project came under serious doubt in early 2002, representatives of Mr McManus have indicated to the Government that the donation would not be given to a project such as Lansdowne Road.
Announcing 190 million in State support for the redevelopment of Lansdowne Road on Tuesday, the Minister for Arts, Sport and Tourism, Mr O'Donoghue, said he was aware the project did would not qualify for the McManus donation.
However, he said the Government was waiting to hear definitively from Mr McManus on the grant.