The Wall Street Journal has reported that prosecutors are investigating a former Austrian fund manager Sonja Kohn, to determine whether she was paid the alleged over $40 million for supplying investments worth billions of dollars to the Ponzi scheme kingpin Bernard Madoff!

Going by the statements of the prosecutors in the US, UK and Austria, Kohn received 'rewards' from Madoff for steering funds of the Austrian Bank Medici customers to the charlatan 's investment business, when she was the chairperson of Medici. To substantiate the fact, the Wall Street Journal has cited affidavits that detail the investigations as well as the numerous documents collected by Austrian prosecutors.

However, the 60-year-old Kohn, an ex-Wall Street broker, - who is yet to be charged - has denied any wrongdoing. She told the newspaper: "I am actually the greatest Madoff victim. It is a tragedy for my family, my company and for me personally."

The newspaper report said that prosecutors believe Kohn received 'payments' from Madoff for turning three Bank Medici funds into "feeder funds," which reportedly supplied Madoff with an approximately $3.5 billion from European investors.

Meawhile, Medici lawyer Andreas Theiss told Reuters that though Kohn owns 75 percent of Medici - which has been renamed 20.20 Medici AG - neither Kohn nor the bank had received the alleged 'kickbacks' from Madoff.