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09 August 2005
Jowell Called To Account Over
Casino Talks
Culture
secretary Tessa Jowell's statement to MPs on the
relationship between her department and US casino groups was
"misleading", the Conservatives said today.
Newly released documents
suggest officials from the Department
for Culture, Media and
Sport (DCMS)
attempted to persuade the Treasury to lift European money
laundering proposals on behalf of casinos wanting to invest
in Britain.
This proposed legislation
would require all gamblers to show ID on arrival, but the
casinos argued this would effectively be a return to
members' only casinos and go against the new bill's attempts
to liberalise the law.
The government has denied
the allegations, insisting it was "entirely right" that any
significant reforms of the UK gambling laws be discussed
with the industry first.
The controversy centres on
comments made by Ms Jowell to parliament last November,
where she dismissed Tory claims that the DCMS had discussed
the money laundering laws with casino groups.
Two days later, when
pressed on the issue at prime minister's question time, Tony
Blair said suggestions that casinos had been offered special
concessions were "ridiculous".
But today shadow culture
secretary Theresa May said a briefing note from DCMS
official Richard Beston to culture minister Lord McIntosh,
published in The Observer yesterday, suggested Ms Jowell had
not been straight with MPs.
Dated May 2004, it reads:
"We [the DCMS] have asked the Treasury to consider
revising the third money laundering draft directive to
exempt casino members from showing ID when they enter the
actual gaming floor ... If these discussions fail, I
[McIntosh] will consider with industry how best to
resolve this issue."
Ms May has now called for
all correspondence with American casino groups to be
published, and for assurances that the proposed money
laundering laws will not be relaxed.
"The secretary of state
and the prime minister told the Commons that it was a matter
for the Treasury to decide on money laundering rules," she
said.
"Yet it is now clear that
not only were DCMS officials in discussions with American
casino operators, they were actively lobbying the Treasury
on their behalf. The impression given by Tessa Jowell was
clearly misleading."
She added: "Having talks
with casino operators is one thing, but lobbying on their
behalf is something completely different."
A DCMS spokesman insisted
discussions with casinos over the changes to the gambling
laws inevitably included passing on their views to the
Treasury, but that was it.
"Part of this
[consultation] was discussing with them the draft
directive and passing on their views and our views to the
Treasury, who sought our opinion and are the ultimate
decision-makers," he said.
"Tessa Jowell never denied
that we had talked to the industry. What she denied was that
we offered special favours. If you analyse the documents we
have released under freedom of information legislation, they
confirm that.
"There is no question of
us ever putting the effectiveness of money laundering
directives behind the interests of casino operators,
wherever they are from."
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