Peña is arrested after impeachment in Paraguay

The Public Prosecutor’s Office of Paraguay on Friday requested the arrest of Santiago Peña and former president of Paraguay’s Banco Central (BCP), Carlos Carvallo, as part of an investigation for breach of trust and other crimes. The request was referred to the Guarantee Court by four prosecutors of the units specialized in Economic Crimes and Anti-corruption and Computer Crimes. In the document, investigators request compliance with an arrest warrant issued on Friday against the two former leaders.

The action comes on the same day that the Paraguayan Senate unanimously approved the impeachment of Peña, amid the political crisis provoked by the scandal involving Ueno Bank. With the dismissal, Vice-President Pedro Alliana assumes office until 2028. The source did not detail the exact time of the events, but the sequence indicates a rapid response from the authorities.

Request for arrest and precautionary measures

According to the ABC Color newspaper, prosecutors asked that Peña remain detained in his residence until he is made available to the Public Prosecutor's Office. Carvallo is to be held in custody at the facilities determined by the Command. The difference in detention conditions suggests a distinct risk assessment for each investigated, although the source did not detail the criteria.

The request for pretrial detention is common in cases of economic crimes to avoid interference in investigations or escape. In Paraguay, the injury of trust is typified in the Penal Code and can lead to prison sentences, depending on the amount involved. The source did not detail the values or the extent of the crimes investigated.

Unanimous impeachment and transition of power

The unanimous approval of the impeachment in the Senate reflects the seriousness of the political crisis. The Ueno Bank scandal has shaken confidence in the Peña government, leading to a rapid institutional breakdown. Pedro Alliana, who was vice-president, takes office until 2028, as provided for in the Paraguayan Constitution.

The transition of power occurs at a time of strong popular pressure. The source did not detail whether Alliana has formally taken office or if there are additional measures planned. The international community is monitoring the development, but the source did not mention external reactions.

Ueno Bank crisis and social impact

The financial institution suffered Banco Central intervention after facing solvency problems, leaving millions of customers without access to money and triggering protests in the country. The situation generated a climate of economic and social instability, with reports of long queues in agencies and demonstrations in Asuncion and other cities.

The intervention of the Banco Central is an extreme measure to protect the financial system, but it usually has immediate effects on the lives of the account holders. The source did not detail the total amount blocked or the exact number of affected, but the mention of "millions of customers" indicates the scale of the problem.

What's next

With the request for arrest forwarded, the Court of Guarantees should decide on precautionary measures in the coming days. Peña and Carvallo's defense has not yet been publicly expressed, according to the source. The case must proceed with the collection of evidence and testimonies.

For the Brazilian reader, the crisis in Paraguay serves as a warning about the risks of financial and political instability in neighboring countries. The Boca no Trombone Portal will continue to track developments and will bring updates as new information is confirmed.

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