The Minister for Sport, Dr McDaid, has sharply criticised the Olympic Council of Ireland and its president, Mr Pat Hickey.
He told the House that "no one seems to be able to get on with that organisation, particularly given the attitude taken by its president".
He said the way Irish athletes were treated at the Games was "outrageous" and he agreed with Fine Gael's sports spokesman, Mr Bernard Allen, that the athletes were treated like "pawns".
Dr McDaid added that the way the Irish ambassador was treated on a number of occasions was "embarrassing".
The treatment of athletes and coaches in Sydney, was an "eye-opener", he said, adding that "there is something wrong in an organisation when a member of it can use his power and influence to bring about such a debacle".
Responding to Opposition questions about the public disagreements between the Olympic Council and the Athletics Association during the Sydney Games, the Minister said there was "just one problem" and that was the Olympic Council.
"While I would be slow to say the fall-out from the dispute contributed to the eventual under performance of our team, it certainly can have done nothing to help matters."
There was no squabbling between the Sports Council, Athletics Ireland, the national organisations of sport, the NCTC and himself. Until they were able to do something about the attitude of the council, "the Olympic movement here under its current leadership is going to leave a lot to be desired".
He said promises were made that everything would be smoothed over after the Atlanta Olympics and that what happened there would never recur. "Unless something is done by the organisations of the Olympic movement here, I would be concerned about this ongoing situation in the lead up to the next games."
The Minister has invited the 28 national governing bodies of sport affiliated to the Olympic movement including the Athletics Association and the Olympic Council to participate in a review of the supports, programmes and schemes in place to establish what needed to be done for the Athens Games in 2004, in light of the Sydney experience.
Mr Allen said athletes were once again "used as hostages and scapegoats in a power game between the blazer brigades".