Paraguay’s impeached president Santiago Peña held in preventive detention over Ueno Bank collapse

Santiago Peña, the impeached president of Paraguay, was placed in preventive detention on Saturday following his indictment in connection with the collapse of Ueno Bank, which affected millions of savers. Judge Hernan Otazu announced the measure in Asuncion, with Peña to be held at a military facility. Peña was charged with "abuse of trust" and "management for personal purposes," alongside former central bank chief Carlos Carvallo. Prosecutors allege Peña, who held shares in a parent company of the bank until 2025, oversaw a concentration of over $800 million in public and pension funds in Ueno. The Senate unanimously removed Peña for "poor performance of duties" after the central bank seized Ueno on Tuesday, freezing deposits of nearly three million clients. New President Pedro Alliana has promised full compensation, and the central bank says about 1.2 million small savers have already been repaid.