Mr Colm Murphy, whose conviction for conspiring to cause the Omagh bombing in 1998 was quashed last week, remained in custody yesterday after a technical hitch held up his expected release on bail.
Mr Murphy will have to go to the Court of Criminal Appeal tomorrow for new bail conditions before he can be released.
He appeared briefly at the Special Criminal Court in Dublin yesterday where his counsel, Mr Richard Humphreys BL, said the Court of Criminal Appeal had set bail terms at a cash lodgement of €50,000 and two independent sureties of €25,000 each.
Mr Humphreys said that one surety was Mr Murphy's daughter, Ms Leonora Murphy, Ravensdale, Co Louth, but the second proposed surety was his sister, Ms Kathleen Tully, of Belleeks, Co Armagh, which is outside the jurisdiction.
Mr Humphreys said because of this it was proposed that Ms Tully would lodge the €25,000 in court as part of the bail conditions.
However, Mr Justice O'Donovan, presiding, said the court did not have the power to alter the bail terms set by the Court of Criminal Appeal. He said Mr Murphy would have to go back to that court and seek to have the terms of bail altered to allow for a cash lodgement to replace the surety.
The court approved Ms Leonora Murphy as a surety for Mr Murphy and the judge said the court would have no problem accepting the new conditions and releasing Mr Murphy on bail.
The court also ordered that a building society account held by Ms Leonora Murphy should be frozen and should not be allowed to go below €25,000.
Mr Humphreys said Mr Murphy would live in Mountpleasant, Dundalk, and would sign on daily at the Garda station. His passport had already been surrendered to the prison authorities.
Mr Tom O'Connell SC, counsel for the State, said Mr Murphy's retrial could not go ahead until the trial of two gardaí for perjury had taken place.
The court remanded Mr Murphy until April 5th when his case will be mentioned again.