Paraguayan President Santiago Peña faces a formal investigation into alleged irregularities connected to Ueno bank. (Foto: Instagram)
Paraguay’s Public Prosecutor’s Office has opened a formal investigation into President Santiago Peña over possible irregularities connected to Ueno bank, following a complaint by opposition lawmakers. The investigation was announced Thursday, Nov. 5, the same day Peña submitted his resignation.
Prosecutors are examining possible ties between Peña and the financial institution, as well as allegations of illicit enrichment, money laundering, corruption, administrative fraud and influence peddling. The allegations are the subject of the investigation and have not been established as facts.
Peña, 47, was elected president in 2023. He held shares in a company linked to Ueno until March 2025. After he took office, the financial institution grew rapidly and received large deposits from public agencies, totaling about $850 million, or approximately 4.2 billion Brazilian reais, according to the report.
Ueno was dissolved Tuesday, Nov. 3, after the Central Bank of Paraguay determined that the digital financial institution lacked the funds to meet its obligations. In banking terms, the institution was considered insolvent.
The scandal prompted opposition politicians to call for Peña’s impeachment and, according to the report, left him without political support even within his own party. The Chamber of Deputies approved opening impeachment proceedings, which are now under consideration in the Senate.
Peña’s resignation, submitted Thursday amid the crisis, still requires review by Congress. The resignation and impeachment proceedings are separate developments: lawmakers must consider whether to accept his resignation, while the Senate is weighing the impeachment process.
