NY judge reserves judgment in Clear Channel case

NEW YORK (Reuters) - A New York state judge on Thursday made no immediate ruling on a group of banks' request to dismiss a lawsuit seeking to force them to fund the $20 billion leveraged buyout of Clear Channel Communications Inc (CCU.N: Quote, Profile, Research, Stock Buzz).

After hearing an hour of oral arguments, New York State Supreme Court Judge Helen Freedman did not indicate when she would rule on the request. A May 5 trial date in the case may be delayed, the judge said.

"Don't look too forward to May 5," she said. "I might have to extend it a few days after."

Private equity firms Thomas H. Lee Partners and Bain Capital Partners sued the banks -- Citigroup Inc (C.N: Quote, Profile, Research, Stock Buzz), Morgan Stanley (MS.N: Quote, Profile, Research, Stock Buzz), Credit Suisse Group (CSGN.VX: Quote, Profile, Research, Stock Buzz), Royal Bank of Scotland Group Plc (RBS.L: Quote, Profile, Research, Stock Buzz), Deutsche Bank AG (DBKGn.DE: Quote, Profile, Research, Stock Buzz), and Wachovia Corp (WB.N: Quote, Profile, Research, Stock Buzz) -- to force them to fund the buyout of Clear Channel.

The banks are accused of balking at providing financing after credit markets deteriorated last year.

(Reporting by Leslie Gevirtz)