CUSTOMS officials are trying to give back £150,000 of alcohol and cigarettes they took from Britain's first offshore off-licence, but the owner is refusing to have them.

Yachtsman Philip Berriman last night said the cut-price stock would stay where it was, in a secure Customs warehouse, because he has been told by Customs he could be arrested and imprisoned for seven years if he re-opens his off-licence.

The alcohol and tobacco was seized when marine engineer Mr Berriman, who had been running his floating off-licence 13 miles off Hartlepool, took his yacht, the Rich Harvest, into port for minor repairs.

Mr Berriman, 46, said all he was doing was taking advantage of a legal loophole by selling his stock in international waters.

He said: "It is quite simple, not a complicated issue at all. If there is no law, you cannot break the law. Because there is no law, it is not illegal. But we want a definitive statement from the Customs on the situation and to state they have messed up.

"I am sure any judge who is not a puppet would concur. But if it is to go to the European Court of Human Rights, then so be it."

Mr Berriman, from Norton, Stockton, said he gave Customs officials six months' warning of his plans to run an off-licence in international waters.

He and his legal team will meet a Government lawyer tomorrow.

A Customs spokesman said: "We have made it clear to Mr Berriman as long as he re-exports the goods, he can have them back. But he has to take them out of the country.

"Anyone who goes out to his boat and returns without paying duty is committing an offence.

"Anyone who knowingly assists someone to commit such an offence is guilty of an offence and may be prosecuted.

"We have twice written to Mr Berriman explaining this. He should not be in any doubt as to what our position is."

In the first few days of operation, Mr Berriman's off-licence made £10,000. His shuttle which took customers out to the Rich Harvest was booked up for months, while about 30 fishing charter boats sailing out of Hartlepool were also fully booked.