Paraguayan court orders preventive detention and asset freeze for ex-President Peña in Ueno Bank case

Paraguayan courts ordered the preventive detention and asset freeze of former President Santiago Peña on Saturday (7) in connection with the Ueno Bank crisis investigation. The measures also target former Central Bank President Carlos Carvallo. Peña testified before prosecutors for about three hours but remained silent, as did Carvallo. Prosecutors formally accused both men and requested the detention, bank account freezes, and a ban on selling or transferring assets. The investigation estimates losses of $809.5 million, involving deposits from public institutions like the IPS pension institute and Itaipu Binacional. The probe examines Peña's financial ties to the Ueno Bank's controlling Grupo Vázquez, including shareholdings and loans. Peña was impeached and removed from office on Friday (6) following the bank's collapse, which affected approximately 3 million clients and triggered protests in Asunción.