THE Millennium Dome could be transformed into a Las Vegas-style casino as a draft Bill relaxing gambling laws is scrutinised by MPs.

South African-born leisure tycoon Sol Kerzner, 68, hopes to win a licence to convert the failed government project into a gambling venue.

Financial insiders believe his company Kerzner International is in talks with the Anschutz Entertainment Group, which won the right in April to develop the Dome.

The draft plan of the Gaming Bill produced by the Department for Culture, Media and Sport (DfCMS) proposes getting rid of the rule which makes people wishing to attend a casino register 24 hours in advance.

It also suggests a regional planning body for London, made up of planners from local authorities, should be set up to give permission to build casinos.

A larger commission will then replace the board as a regulatory body and gambling licence issuer.

A joint scrutiny committee, made up of both MPs and lords, is currently looking at the draft plan and will report back to Parliament by Easter next year. If approved, the bill could become law by early 2005.

A spokesman for the DfCMS said: "If the regional planning body and the Gaming Commission believe the Dome is a suitable site for a casino then a licence will be granted."

Mr Kerzner is keeping tight-lipped about the Dome but a Kerzner spokesman said: "We are interested in branching out into the UK. But everything depends on deregulation."

The magnate is renowned for creating enormous casinos and complexes, including one of the world's largest grossing casinos, the Mohegan Sun, in Connecticut, USA, and South Africa's Sun City.

Protesters fear relaxing the law could increase addiction to levels seen in the US, where up to three per cent of adults have a problem.