The Australian Broadcasting Corporation has reported that Dr Brian Kennedy will not be taking up the role of Director of the Irish Museum of Modern Art and that he will instead continue in his current role as director of Australia's National Gallery.
It is the latest twist in an ongoing row about his selection for the IMMA job, which began last Monday night when, the chairwoman of the museum's Board, Marie Donnelly, proposed that Dr Kennedy be offered the Directorship.
This was despite the fact that the interview panel set up to recommend an appointment had not selected a candidate.
The board accepted Ms Donnelly's recommendation, leading in turn to the resignation of two board members: Niall Crowley and Terry Prone.
Last night, the management team at IMMA said that the way the matter had been handled had led to a further loss of confidence in the Chair and the board.
Earlier today, the IMMA Board defended the selection process saying it had been conducted in accordance with proper procedures.
The two board members who resigned are holding talks with the Arts Minister, Sile de Valera, at Leinster House this evening.