A threat to the publication of the report of the banking inquiry has receded with a statement from developer Michael O'Flynn saying he was happy with the response to his earlier objections.

In a statement Mr O'Flynn added he "never wanted to delay or prevent publication of the report in any way, a point that he made very clear to the committee in all of his correspondence".

He said he had issues with "a limited number of important points in the draft report that were legally and factually incorrect", and it was important to deal with these appropriately.

In earlier correspondence objections he had raised to references to political donations made by the developer had been resolved.

At its meeting today the committee agreed that its report would note Mr O'Flynns other complaints about not being afforded right of reply to a letter from NAMA outlining the agency's position and that the letter would not form part of its findings.

Some members are understood to regard this as a capitulation while others are said to feel they have done enough to stave off the risk of any legal action.

Legal advice received by the committee today indicated that, while the relevant act governing their operations was unclear in some respects, any successful approach to the High Court would oblige them to cease their operations.

Committee member and Socialist TD Joe Higgins has already criticised the workings of the 2013 Act as "absurd".

It is separately understood that the other developer with reservations about the committee’s report, Johnny Ronan, is broadly satisfied.

A statement issued after today’s meeting insisted the committee was still on course to publish at the end of the month, but some members had expressed concerns that any High Court action by either of the two developers who have objected to its draft report could frustrate that timescale.

The standstill period representing the last window for observations from interested or aggrieved parties runs for three weeks from 5 January.

Earlier delays mean the report must be published a day after that expires - on January 27. 

A number of committee members contacted accepted that "the ball was at the feet of the developers".

It remains open to the committee to seek an extension from the Oireachtas, but with an election due possibly at the end of February the political timetable is equally restricted.