The tip of the iceberg largest banks of both Spain and France, Santander and BNP Paribas, and Swiss private bank Reichmuth & Co

largest banks of both Spain and France, Santander and BNP Paribas, and Swiss private bank Reichmuth & Co became the latest parties to detail possible losses over investments made with Madoff, who was arrested in New York on Thursday in the alleged fraud.Santander put its client exposure at over 2.33 billion euros ($3.09 billion). BNP Paribas said it could face a potential loss of 350 million euro from exposure to Madoff-linked investments. And Swiss private bank Reichmuth & Co said it had about 385 million Swiss francs at stake, around $325 million.U.S. prosecutors and regulators have accused the 70-year-old Madoff, the founder of Bernard L. Madoff Investment Securities LLC and a former chairman of the Nasdaq Stock Market, of masterminding a fraud through his investment advisory business, which managed at least one hedge fund.A Ponzi scheme is a swindle offering unusually high returns, with early investors paid off with money from later investors.