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Paraguay’s ex-President Peña faces prosecutors after impeachment, house arrest

By Thomson Reuters Nov 7, 2026 | 8:35 AM

ASUNCION, Nov 7 (Reuters) – Paraguay’s former President Santiago Peña arrived at the Attorney General’s Office on Saturday to ​appear before prosecutors, a day after ‌he was impeached and placed under house arrest amid a political and financial crisis triggered by the collapse of digital lender ueno.

Prosecutors ‌said ​on Friday that charges ⁠against Peña were still ⁠being determined but could include influence peddling.

His removal brought Vice President Pedro Alliana to power, with the longtime ruling ​Colorado Party politician sworn in on Friday to complete Peña’s term through ⁠August 2028.

Lawmakers who backed ⁠Peña’s impeachment accused him of ​conflicts of interest, manipulating regulatory oversight and participating ​in an institutional cover-up involving the ‌central bank.

Peña, who was a shareholder in ueno’s holding company until March 2025, has denied wrongdoing and said the bank’s ⁠problems were a regulatory matter.

The collapse has left millions of customers struggling to access their ⁠accounts and ‌prompted protests in Asuncion. The ⁠scandal has also swept up ​senior ‌officials and former ueno executives, ​while regulators ⁠have sought to reassure depositors and contain risks to the wider financial system.

(Reporting by Daniela Desantis in Asuncion, writing by Cassandra Garrison in Mexico City. Editing by ​Lucinda Elliott)