PHILIP ANSCHUTZ’S gifts and hospitality to John Prescott have been reported to the US Department of Justice (DoJ) under laws banning American businessmen from attempting to bribe foreign officials.

Scotland Yard decided not to proceed with investigation into the Deputy Prime Minister because he received a number of gifts from the billionaire overseas, The Times has learnt.

A new British law makes it harder to prosecute corruption claims against public officials if they are on foreign soil when any gifts are accepted.

The head of the Anschutz Entertainment Group is bidding for Britain’s only supercasino, to be in the Millennium Dome at Greenwich, which he is developing as an urban revival scheme.

Mr Anschutz invited Mr Prescott, whose portfolio included regeneration, to bring officials to stay at his Colorado ranch in 2005.

He gave the Deputy Prime Minister a Stetson hat, boots, spurs, buckle and leather-bound notebook estimated by civil servants to be worth £600. The politician declined to keep the gifts and they were held instead by his department.

An anti-bribery conviction under the US Foreign Corrupt Practices Act may result in five years’ imprisonment, a $2 million fine, punitive fines and an anti-racketeering inquiry.

George Bathurst, the Windsor-based head of a nursery security company, has reported Mr Anschutz’s hospitality to the DoJ’s Criminal Division Fraud Section. He was responding to Scotland Yard’s rejection of formal complaints from Mr Bathurst and Norman Baker, the Liberal Democrat MP.

Sue Wilkinson, of the Metropolitan Police’s Specialist Crime Directorate, explained in a letter seen by The Times why an investigation into the gifts handed to Mr Prescott never got under way. Under the Prevention of Corruption Act 1916, public officials must prove that any gifts they get from businessmen are innocent. Prosecutors do not have to prove they are bribes. When Tony Blair introduced new laws aimed at stopping British companies from corrupting foreign governments, the presumption of corruption was removed for presents given overseas.

“In this case the gifts were received in America and therefore the burden of proving the gift was corrupt lies with the prosecution,” Commander Wilkinson wrote.

She pointed out that it will be Tessa Jowell, the Culture Minister, who decides on the super-casino licence, advised by an independent panel, which has yet to recommend a winner.

Mr Baker said that he would be happy to help the US authorities investigate and urged the Government to close the loophole in the law relating to overseas gifts.

“Had Mr Prescott met Mr Anschutz in the Millennium Dome rather than on his ranch, things might have been different,” Mr Baker speculated.

Mr Anschutz treated his guests to an informal dinner, but all who were present have agreed that there was no discussion of the Dome.

“Whilst it is a matter of public record that John Prescott received gifts from Mr Anschutz the Metropolitan Police Service has not received any evidence to suggest that John Prescott entered into a corrupt agreement and helped in the obtaining of a casino licence for the Dome,” Commander Wilkinson wrote.

She added: “In this case, the presumption of corruption is not applicable and Mr Prescott does not deny receiving the hospitality or gifts . . . Accordingly I have decided not to embark on a criminal investigation.”

WHAT HE SAID

“I wore them — I wore them on the day because I went round the ranch, looking at how a ranch works in that sense.

“I looked at a farm that’s dealing with sugar beet where there’s a great deal of problem . . . it’s the working gear”

Mr Prescott defended his decision to stay at the ranch because it was an opportunity to see a “cattley [sic] ranch”.

Mr Prescott told Radio 4’s Today programme: “[Mr Anschutz] knew I was in America and he said: ‘Would you like to come and see a cattle ranch?’, which I was very much interested in. I’m curious about it”

“I saw the cowboy films over my young years. Didn’t you?”

THE RULES

Rules of MPs and ministers receiving hospitality and gifts

A spokesman said that the visit was “on a day off” but on a wider official visit to the United States. He insisted that the two men did not discuss business, Mr Prescott’s Permanent Secretary was informed in advance and Mr Prescott’s department subsequently made a donation to charity for the value of a hotel room

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