Paraguay President Peña impeached over bank collapse crisis
Summarised from 4 outlets · Updated 7 Nov, 16:11 · Archive
Paraguayan President Santiago Peña has been impeached and faces Senate trial after the collapse of digital bank Ueno left millions unable to access accounts.
The collapse of digital lender Ueno Bank triggered a political crisis in Paraguay, with the lower house voting unanimously to impeach President Santiago Peña on Thursday. The crisis forced Paraguay's central bank to intervene as the bank failed, leaving around half the population, reported as up to three million customers, unable to access their accounts and savings.
Peña offered his resignation via social media on Thursday, citing the need for 'stability of our country, social peace and the need to preserve our democratic institutions'. However, both houses of Congress declined to accept his resignation and instead decided to proceed with a Senate trial on Friday that could result in his removal from office. Opposition senators have argued that allowing Peña to resign would preserve his eligibility to become a senator for life, with legal protections that could prevent prosecution.
Prosecutors have ordered three criminal investigations into the bank collapse, examining authorities' oversight of Ueno, their handling of its failure and the placement of public funds in the lender. Peña was placed under house arrest and appeared before prosecutors. A Senator described the case as the 'biggest corruption scandal in our democratic history'. Lawmakers accused Peña of conflicts of interest and manipulating regulators, though Peña has denied wrongdoing. The bank's collapse sparked protests across the country, with thousands taking to the streets in the capital Asunción.
How it is being reported
- Paraguay’s ousted president charged over banking scandalSantiago Pena was impeached over the collapse of Ueno Bank, which left millions unable to access their accounts.Al Jazeera · 7 Nov, 18:35
- Ousted Paraguayan president appears before prosecutorsParaguayan President Santiago Peña was removed from office and placed on House arrest Friday. The Senate voted on his impeachment after the collapse of a state-affiliated bank.NPR · 7 Nov, 17:14
- Paraguay’s President appears before prosecutors after bank collapse leaves half of population locked out of accountsParaguay’s impeached former President Santiago Pena has appeared before prosecutors following a financial crash that left half of the country unable to access their bank accounts.Metro · 7 Nov, 15:50
- Paraguay President Peña under investigation over bank collapse, faces removal from officePeña offered his resignation Thursday via X, with the lower house voting unanimously to impeach him moments later.New York Post · 6 Nov, 18:59
In this story: Santiago Peña · Paraguay · Ueno Bank · Colorado Party · Emiliano Rolón Fernández · Asunción
This summary was written by AI from the headlines and standfirsts above, and states as fact only what at least two outlets report. How we use AI · Report a problem · Corrections log
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