Fate of oil firm clouds Russia's big investor party

By Michael Stott

ST PETERSBURG, Russia (Reuters) - Russian leaders wooed investors at a major weekend business forum by pledging to curb corruption and lawlessness but the fate of a major British investment hung over the event like an unwelcome guest.

The Kremlin rolled out a red carpet welcome for several thousand executives from 71 countries at the St Petersburg Economic Forum, laying on a fleet of black BMW 7-series limousines to ferry guests around the former imperial capital.

Rock star Roger Waters performed Pink Floyd songs at a welcome concert by the tsars' former palace and one of Russia's richest men, Roman Abramovich, berthed his $300 million (152 million pound) yacht on the city centre riverside.

President Dmitry Medvedev promised more than 80 chief executives at a private meeting he would reinforce the rule of law, drawing praise from some of them for his openness and willingness to tackle traditionally tough topics.

Business leaders were "deeply impressed by Medvedev's keen knowledge of the challenges and opportunities" facing investors in Russia, said Muhtar Kent, chief operating officer of Coca-Cola Co and one of the group who met the Kremlin chief.

Absent was Vladimir Putin, whose 2000-2008 presidency was marked by strong economic growth and political stability, but also by a dramatic increase in state influence over the economy, sharp anti-Western rhetoric and mushrooming corruption.

Medvedev and his top officials used the Forum to outline a rosy future in which the Russian rouble would become a world reserve currency, Moscow a major financial centre and Russian wheat would help solve the world's food shortages.

UNCERTAIN FATE OF TNK-BP CLOUDS MEETING