Paraguay’s impeached president Santiago Pena is charged over the collapse of Ueno Bank

Paraguayan prosecutors have charged former president Santiago Pena over his links to a major online bank whose sudden collapse has locked many people out of their savings. France 24, which cites AFP reporting, says he was charged on Saturday with ‘breach of trust and mismanagement for personal gain’. A charge is not a finding of guilt, and the reports we read do not include a response from Pena.

Pena, who is 47 and took office in 2023, was removed by the Senate on Friday. Africanews, citing the Associated Press, says all 44 senators present voted to remove him for misconduct in office. The vote came three days after regulators seized Ueno Bank. France 24 describes the bank as a popular online lender that held accounts for nearly half of Paraguay’s 6.5 million people, along with more than $800 million in government funds. Africanews puts the number of customers cut off from their savings and cards at nearly 3 million.

France 24 reports that Pena had offered to resign but lawmakers impeached him instead, which removed the immunity he would have kept had he stepped down. He owned shares in Ueno’s holding company until he sold them last year, according to the same report.

Pedro Alliana, who was Pena’s running mate in 2023, was sworn in as president on Friday and should serve out the term, which runs until August 2028, Africanews reports. The reports differ on Pena’s custody. Africanews says he was placed under house arrest on Friday, while France 24 says he was brought before prosecutors and taken into custody on Saturday.

The collapse has led to street protests in a country that is normally seen as politically stable. France 24 notes that protesters gathered outside Pena’s home on 6 November.