After Ueno collapse disrupts millions of accounts, Paraguay prosecutors want impeached president detained ahead of corruption trial, CBC reports
Charges and detention request
Prosecutors in Paraguay charged former president Santiago Peña on Saturday with breach of trust and administration for personal gain. They also asked a court to detain him pending trial, following his impeachment a day earlier.
The charges could each carry a prison term of up to 10 years, the prosecutor said. Peña’s attorney did not immediately respond to a request for comment, and neither did Carvallo.
Peña’s role at Ueno
Peña held shares in Ueno’s parent company until March 2025. He has rejected allegations of wrongdoing and described the bank’s difficulties as a matter for regulators.
Fallout from lender’s collapse
Millions of Ueno customers have struggled to reach their accounts since the digital lender collapsed. The crisis has also prompted protests in Asunción. Senior officials and former Ueno executives have been drawn into the scandal. Regulators have tried to reassure markets while limiting risks to the broader financial system.
Key points
- Prosecutors charged former president Santiago Peña and sought his detention before trial.
- Peña denies wrongdoing and says Ueno’s problems were a regulatory matter.
- Ueno’s collapse has disrupted customer accounts and led to protests in Asunción.