NEW YORK, June 11 (Reuters) - A U.S. federal court on Monday
rejected aluminum maker Alcoa's bid to dismiss a racketeering
lawsuit related to its shipments to Aluminium Bahrain (Alba),
according to a written ruling in the case.
In the lawsuit, filed in Pittsburgh federal court in
Pennsylvania, Alba accused Alcoa of conspiring with businessman
Victor Dahdaleh to orchestrate bribes in Bahrain and to
overcharge Alba for alumina, a material used to make aluminum.
Alcoa had argued that the Racketeer Influenced and Corrupt
Organizations Act, known as RICO, could not be applied to the
case because it involved foreign entities.
But U.S. District Judge Donetta Ambrose said Alba's claims
made it clear that the alleged scheme's origins were located in
the United States.
"The control of the enterprise, the decision-making vital to
the sustainability of the enterprise, came from Pittsburgh,"
Ambrose wrote.
Libby Archell, an Alcoa spokeswoman, said: "A decision on
the motion to dismiss is not a ruling on merits of the case."
"We look forward to presenting the facts related to Alba's
allegations and vigorously defending our position as the
litigation unfolds," Archell said.
Alba could not be reached for comment outside business
hours.
The case is Aluminium Bahrain BSC v Alcoa Inc, William Rice
and Victor Dahdaleh, #08-CV-299 in the U.S. District Court for
the Western District of Pennsylvania.
(Correction: The spelling of U.S. District Judge Donetta
Ambrose's name has been corrected in paragraph four.)
(Reporting by Joseph Ax; Additional reporting by Ernest
Scheyder)
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