Austria's Bank Medici said Tuesday it was affected by a major Wall Street fraud scandal

Wall Street money manager Bernard Madoff, 70, was arrested last week in what prosecutors say was a $50 billion scheme to defraud investors, including the world's big banks, the rich and the famous."In connection with the Madoff fraud case, the bank itself is invested but due to its solid capital structure it is not at risk in any way," the Vienna-based bank said in a statement.Medici also indicated that its Herald USA Fund and Herald Luxemburg Fund — with a total volume of $2.1 billion (1.5 billion euros) — were exposed to the scam and that 93 percent had been bought by international investors."The majority of the funds were invested with Madoff," Austrian newspaper Die Presse quoted bank board member Peter Scheithauer as saying in an online interview published late Tuesday. "It's not certain that all the money is gone," he added.A quarter of the private bank is owned by Unicredit's Bank Austria. The remaining 75 percent belong to chairwoman Sonja Kohn, who has served as advisor to Austria's economics and foreign affairs ministers and to Vienna's stock exchange

Austria's Bank Medici said Tuesday it was affected by a major Wall Street fraud scandal

Wall Street money manager Bernard Madoff, 70, was arrested last week in what prosecutors say was a $50 billion scheme to defraud investors, ...

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