LAWYERS for Cardinal George Pell have sent a letter indicating they may cross-examine witnesses giving testimony at the Royal Commission.

They said they had previously been told not to cross-examine witnesses unnecessarily.

EARLIER (11.29AM): 

A STATEMENT from Cardinal George Pell in relation to claims made in the Royal Commission on Wednesday has been described as a "denial, rather than a statement of difference".

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Royal Commission senior counsel Gail Furness made the comment at the opening of day three of the commission's first hearing in Ballarat.

Commission chairman Justice Peter McClellan also said: "There is a direct conflict between witnesses as to whether a particular event occurred or a particular statement was made, either because there's been a mistake or one or the other may not be telling the truth and should be disbelieved."

Justice McClellan also said: "The fact the church parties are conducting their case in a particular way and not asking witnesses questions is not a matter we will have regard to when completing our reports."

On Wednesday, abuse survivor David Ridsdale told the commission Cardinal Pell attempted to bribe him to prevent him speaking about being abused by his uncle, Gerald Ridsdale.

Another survivor, Timothy Green, told the commission Cardinal Pell was dismissive when he reported that Brother Edward Dowlan was abusing boys at St Patrick's College in Ballarat.

Cardinal Pell, now finance chief at the Vatican, released a statement online later on Wednesday night saying he had already addressed many of the claims levelled against him in a Victorian parliamentary inquiry in 2013, and he stood by those statements.

"Over the last 24 hours, I have been accused of being complicit in the moving of a known paedophile, of ignoring a victim's complaint and of bribery," he said.

"These matters again require an immediate response and it is important to correct the record, particularly given the false and misleading headlines."

In reference to Mr Green's testimony, Cardinal Pell said: "To the best of my belief this conversation did not happen."

Lawyer for church witnesses, Peter Gray SC, declined to challenge the claims of either Mr Ridsdale or Mr Green in cross-examination when invited to do so by Justice McClellan on Wednesday.