MOSCOW, February 14 - RAPSI, Sergei Feklyunin. The notorious Premier Estate, which is involved in a high profile Bank of Moscow fraud case, has submitted a draft settlement in the bank's $453 million lawsuit, the defendant's counsel Yevgeny Reznyk told the RAPSI/rapsinews.ru.

TD Ramenskaya owns a 55.2 hectare land plot for housing construction. It also owns other quick-selling real property.

Reznyk said that according to an independent appraisal the land plot of 552,170 square meters roughly costs 15.146 billion rubles ($506.7 million).

The Moscow Commercial Court will hear on February 16 the bank's 13.543 billion ruble ($453 million) lawsuit against Premier Estate and TD Ramenskaya.

TD Ramenskaya is associated with Yelena Baturina, a former owner of Inteco development company and wife of former Moscow mayor Yuri Luzhkov.

Luzhkov, who held the office for 18 years, was dismissed in September 2010 by presidential decree over the loss of credibility.

The Bank of Moscow granted a loan to Premier Estate in 2009. TD Ramenskaya was the guarantor. The loan maturity has been extended several times. Ultimately the loan was set to be repaid in October 2015. However, the bank filed a lawsuit after the Premier Estate defaulted in debt servicing since January 2011.

The investigative department opened a criminal case against former Bank of Moscow President Andrey Borodin and his deputy Dmitry Akulinin in late 2010. Borodin and Akulinin were charged with embezzling 12.5 billion rubles ($398.5 million) from the Moscow budget through a loan to the Premier Estate company. Prior to granting the loan to Premier Estate, the bank issued new shares worth 15 billion rubles ($478.2). The stake was purchased by the Moscow government, the bank's majority shareholder. The Premier Estate used the funds to purchase 58 hectare land plot from Baturinas TD Ramenskaya on the west of Moscow. Investigators say the bank's personnel was well aware of the false information the borrower submitted about the pledge to secure the loan.

Inteco insisted that the deal with Premier Estate was legal.