Socialite Paris Hilton has been spotted wearing a diamond ring on her wedding finger, but she denied that she is engaged to her boyfriend, rocker Benji Madden, saying it was just a present.

New-magazine.co.uk reports that the pair started wearing rings bearing each others' initials just a few weeks after they began dating. But rumours of an engagement were sparked after Hilton was spotted wearing the diamond ring.

Hilton dismissed the speculations, saying: "No, it's just a present. He is sweet. We want to stay together forever. I wouldn't do a Vegas wedding. I don't know where or when, but I do want it to be romantic."

Madden has already hinted that he wants to marry Hilton, saying she is "wife material". His brother Joel, who is dating Hilton' friend and "Simple Life" co-star Nicole Richie, has called Hilton his "sister-in-law".

Joel and Richie are planning to wed soon and rumours abound that Hilton might follow suit and even have a double wedding.