UK court aims to rule on RUSAL case venue by July 31

By Humeyra Pamuk LONDON, July 21 (Reuters) - A UK court will seek to rule within coming days on whether Russian billionaire Oleg Deripaska could be sued in Britain over a disputed stake in his indebted aluminium giant RUSAL, a judge said at a Tuesday hearing. 'There is no question that one would like to get rid of it before the summer holiday comes,' said Lord Justice Waller. 'We will do whatever we can.' Michael Cherney, an Israeli-based Russian entrepreneur, says his former partner Deripaska failed to honour a business deal struck in 2001 in London, which entitles him to a 13.2 percent stake in RUSAL. Cherney was 'keen to get on with this case', his lawyers said at the close of the 2-day hearing, when Lord Justice Waller, one of three judges hearing the appeal, asked how urgent the case was ahead of the Courts' summer break due on July 31. The world's largest aluminium producer, RUSAL was valued at $36 billion earlier this year. With total debts of $16.8 billion it is engaged in arduous restructuring talks with a 70-strong creditors club. Cherney's lawyers want a trial in Britain, arguing their client's life and freedom would be at risk in Russia and a trial there might not be fair. An English High Court judge ruled in his favour over the location in July 2008. Deripaska's lawyers are seeking to overturn the decision at the Court of Appeal, saying Russia is the whole focus of this case and therefore it should not be heard in Britain. For background on the case click A London jurisdiction would be seen as increasing the possibility of a multibillion dollar call on RUSAL parent company Basic Element, which is already engaged in tough restructuring talks with foreign creditors to restructure $7.4 billion in RUSAL debt. A spokeswoman for RUSAL told Reuters on Tuesday that the case in London was not related to the company's restructuring talks. 'As previously announced, the negotiations on the terms and conditions of the long-term debt restructuring are almost finalised. RUSAL is planning to sign the agreement within the validity period of the standstill agreement,' she said in a written statement. For a NEWSMAKER on Deripaska click on For a story on RUSAL debt restructuring click (Additional reporting by Melissa Akin in Moscow, Editing by Keiron Henderson) Keywords: RUSSIA BRITAIN/RUSAL