Paraguay's President Peña removed and placed under house arrest after banking scandal
Paraguay's President Santiago Peña has been removed from office amid a banking scandal and placed under house arrest, with prosecutors launching criminal proceedings against him for dereliction of duty. Peña resigned Thursday to preempt impeachment, but Congress rejected his resignation and failed to vote on it due to a lack of quorum after Colorado Party lawmakers withdrew. The crisis stems from the collapse of digital bank Ueno, leaving millions of savers fearing for their deposits and sparking protests in Asunción. Peña had business ties until March 2025 with Grupo Vázquez, Ueno's parent company, though he denied conflict-of-interest allegations. Vice President Pedro Alliana has been sworn in as his successor, serving until August 2028.