A spokesman for the capital's official visitor organisation refused to speculate on whether any individual would be disciplined, but confirmed that the video, which was condemned by Downing Street and London Mayor Boris Johnson, has now been withdrawn from use.
Marcus Harvey's portrait, shown hanging in a gallery, appeared briefly in a film depicting London's culture which was originally produced by the tourism body to promote the city to the tourism trade.
It was shown on screens at a party attended by Johnson, Gordon Brown, Olympics minister Tessa Jowell and London 2012 chairman Sebastian Coe, and seen by TV viewers.
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