The President of Paraguay was removed and placed under house arrest following a banking crisis
Santiago Peña, the President of Paraguay, was removed from power and placed under house arrest by a Senate vote following the collapse of the digital bank Ueno and allegations related to his personal business interests.
His impeachment was approved with the support of 44 senators out of the total 45 members of the Senate. Peña, who held shares in the company owning the bank until last year, has denied the allegations against him.
The collapse of this bank has left about three million people, equivalent to more than half of Paraguay’s population, without access to their savings and pensions, a crisis that has sparked widespread protests in the country.
The allegations against the ousted president include conflicts of interest, exerting influence over regulatory bodies, and diverting pension fund resources.
Following Peña’s removal, Vice President Pedro Alliana was sworn in as the interim president and is expected to remain in this position until 2028.