I'm running into this same issue on a SUSE 10.1 box. In looking around, it appears that libopenssl-ruby is a debian-only package, but I'm kinda new to linux so I'm probably missing something.
Any help is much appreciated.
Current Progress: Installed Ruby Installed RubyGem installed openssl
The output of 'sudo gem install rails --include-dependencies' or 'sudo gem install rails -y' is:
Bulk updating Gem source index for: http://gems.rubyforge.org ERROR: While executing gem ... (Gem::Exception) SSL is not installed on this system