Parmalat told cannot seek damages in Milan

MILAN, April 18 (Reuters) - Italian dairy group Parmalat
(PLT.MI: Quote, Profile, Research) will not be able to seek damages in a Milan trial
linked to its 2003 collapse after a judge on Friday excluded
Chief Executive Enrico Bondi from a group of plaintiffs.

Parmalat said in the decision would not affect it seeking
damages in the main trial into its collapse in the northern
Italian town of Parma, near its headquarters.

"Parmalat clarifies that today's Court of Milan decision
excluding the company as a civil party in the criminal
proceedings in Milan has no effect on Parmalat's ability to
claim damages since these are, and will be, the object of claims
in the bankruptcy proceedings pending before the court of
Parma," it said in a statement.

A Milan judge last year ordered banks Citigroup (C.N: Quote, Profile, Research), UBS
(UBSN.VX: Quote, Profile, Research), Deutsche Bank (DBKGn.DE: Quote, Profile, Research), Bank of America (BAC.N: Quote, Profile, Research) and
other individuals to stand trial for alleged market-rigging by
some employees in connection with Parmalat's 2003 collapse.

Morgan Stanley MWD.N, initially included in the
proceedings, was ordered on Thursday begin a separate procedure
under a different judge.

Parmalat, best known for its long-life milk, was brought to
its knees by 14 billion euros of debt in 2003 after uncovering a
4 billion euros hole in its accounts. The main trial related to
the bankruptcy is the one in Parma.

Parmalat has successfully sued several banks that worked
with its previous management.

The judge in Milan said Enrico Bondi, who is representing
Parmalat, could not be included as a plaintiff in the trial for
market manipulation.
(Editing by Quentin Bryar)