The two leaders interacted outside Parliament to pay tribute to the people who lost their lives in the 2001 Parliament attack.
Modi had accused Manmohan of colluding with Pakistan on Sunday igniting a major political storm. In a combative response, the former PM demanded apology from Modi for allegedly spreading "falsehood and canards" to "score political points in a lost cause."
Congress president-elect Rahul Gandhi was also seen having a light-hearted conversation with Union Ministers Sushma Swaraj and Ravi Shankar Prasad.
Rahul in an interview to ABP Asmita on Wednesday said PM's comments against Manmohan over a dinner meeting with Pakistani diplomats were unacceptable and doesn't suit the prime minister who is a representative of India.
BJP and Congress are locked in a bitter war of words in Gujarat where the second phase of elections will be held on Thursday. Results will be declared on December 18.