compiler crash with assertion failure (inner classes)

frog$ cat -n T.java
     1
     2 class Outer {
     3 Outer() {}
     4 Outer(Object o) {}
     5 void foo() {
     6 class One extends Outer {}
     7 class Two extends Outer {
     8 Two() {
     9 super(new One() {
    10 { new One(); }
    11 });
    12 }
    13 }
    14 }
    15 }
frog$ newjavac T.java
+ /home/gafter/bin/newjava -Xfuture -Xbootclasspath/p:/net/frog/gafter/gjc-neal/gjclasses2 -classpath /net/frog/gafter/gjc-neal/gjclasses2:/net/frog/gafter/gjc-neal/make/tools/javac/gjc.jar:/net/frog/gafter/gjc-neal/make/tools/javac/gjcmain.jar com.sun.tools.javac.Main -classpath . T.java
+ /net/frog/gafter/gjc-neal/build/solaris-sparc/bin/java -Xfuture -Xfuture -Xbootclasspath/p:/net/frog/gafter/gjc-neal/gjclasses2 -classpath /net/frog/gafter/gjc-neal/gjclasses2:/net/frog/gafter/gjc-neal/make/tools/javac/gjc.jar:/net/frog/gafter/gjc-neal/make/tools/javac/gjcmain.jar com.sun.tools.javac.Main -classpath . T.java
An exception has occurred in the compiler (1.4.0-internal). Please file a bug at the Java Developer Connection (http://java.sun.com/cgi-bin/bugreport.cgi) after checking the Bug Parade for duplicates. Include your program and the following diagnostic in your report. Thank you.
java.lang.InternalError: assertion failed
        at com.sun.tools.javac.v8.util.Util.assertion(Util.java:28)
        at com.sun.tools.javac.v8.comp.Items$LocalItem.<init>(Items.java:339)
        at com.sun.tools.javac.v8.comp.Items.makeLocalItem(Items.java:92)
        at com.sun.tools.javac.v8.comp.Gen._case(Gen.java:1577)
        at com.sun.tools.javac.v8.tree.Tree$Ident.visit(Tree.java:897)
        at com.sun.tools.javac.v8.comp.Gen.genExpr(Gen.java:553)
        at com.sun.tools.javac.v8.comp.Gen.genArgs(Gen.java:571)
        at com.sun.tools.javac.v8.comp.Gen._case(Gen.java:1181)
        at com.sun.tools.javac.v8.tree.Tree$Apply.visit(Tree.java:728)
        at com.sun.tools.javac.v8.comp.Gen.genExpr(Gen.java:553)
        at com.sun.tools.javac.v8.comp.Gen._case(Gen.java:1113)
        at com.sun.tools.javac.v8.tree.Tree$Exec.visit(Tree.java:648)
        at com.sun.tools.javac.v8.comp.Gen.genDef(Gen.java:423)
        at com.sun.tools.javac.v8.comp.Gen.genStat(Gen.java:456)
        at com.sun.tools.javac.v8.comp.Gen.genStat(Gen.java:444)
        at com.sun.tools.javac.v8.comp.Gen.genStats(Gen.java:487)
        at com.sun.tools.javac.v8.comp.Gen._case(Gen.java:673)
        at com.sun.tools.javac.v8.tree.Tree$Block.visit(Tree.java:470)
        at com.sun.tools.javac.v8.comp.Gen.genDef(Gen.java:423)
        at com.sun.tools.javac.v8.comp.Gen.genStat(Gen.java:456)
        at com.sun.tools.javac.v8.comp.Gen.genStat(Gen.java:444)
        at com.sun.tools.javac.v8.comp.Gen.genMethod(Gen.java:626)
        at com.sun.tools.javac.v8.comp.Gen._case(Gen.java:591)
        at com.sun.tools.javac.v8.tree.Tree$MethodDef.visit(Tree.java:416)
        at com.sun.tools.javac.v8.comp.Gen.genDef(Gen.java:423)
        at com.sun.tools.javac.v8.comp.Gen.genClass(Gen.java:1675)
        at com.sun.tools.javac.v8.JavaCompiler.genCode(JavaCompiler.java:280)
        at com.sun.tools.javac.v8.JavaCompiler.compile(JavaCompiler.java:403)
        at com.sun.tools.javac.v8.Main.compile(Main.java:411)
        at com.sun.tools.javac.Main.compile(Main.java:28)
        at com.sun.tools.javac.Main.main(Main.java:19)
frog$