Full inquiry launched into Prescott's visits to billionaire

Parliamentary Standards Commissioner Sir Philip Mawer has launched a full inquiry into allegations against Deputy Prime Minister John Prescott, his office announced today.

The announcement came after Mr Prescott went on the radio to issue a strong denial of any impropriety in his relationship with American billionaire Philip Anschutz, who is hoping to build a super-casino in the Millennium Dome.

Sir Philip's investigation will focus on claims by shadow culture secretary Hugo Swire that Mr Prescott's visit to Mr Anschutz's Colorado ranch should have been entered in the Register of MPs' Interests.

Other allegations that Mr Prescott's regular meetings with Mr Anschutz created a conflict of interest are covered by the Ministerial Code and are a matter for the Prime Minister, said the Commissioner's spokeswoman.

Sir Philip expects to produce a report for the House of Commons Standards and Privileges Committee by the time parliamentary recess starts on July 25. His office declined to give any details of witnesses or evidence to be called.

Mr Prescott yesterday bowed to pressure to enter last July's visit to the Colorado ranch in the Register of Members' Interests, just a day after insisting that it was not necessary to do so, as he was in the US on official business and had paid for his stay from public funds.

After Mr Anschutz declined payment for the stay, the ODPM paid 600 US dollars to a charity of his choice to cover it, although Mr Prescott this morning said he was not aware of this arrangement at the time.

He met Sir Philip yesterday to inform him of his decision to make the entry. The meeting came just hours after the Commissioner announced that he was conducting preliminary inquiries into Mr Swire's complaints to determine whether a full investigation was necessary.