Paraguay’s Chamber of Deputies votes to impeach President Peña — NPR
In Paraguay, the Chamber of Deputies unanimously supported the impeachment of President Santiago Peña minutes after he announced his resignation. The vote took place amid a crisis surrounding digital Ueno Bank, after regulators intervened in its operations and customers lost access to their savings, salaries and pensions. NPR reports.
All 78 lawmakers in the lower house of parliament voted for impeachment. The Senate must now consider the charges, where support from two-thirds of senators is needed to formally remove the head of state. Lawmakers from the ruling Colorado Party joined the opposition after three days of protests in Asunción.
President’s resignation
Peña announced his decision to resign in a video address on social network X, while parliament was already discussing his impeachment. According to him, the move was necessary to preserve the country’s stability, social peace and democratic institutions. The president also apologized to citizens if he had at any point failed to live up to their trust, but did not take responsibility for the banking crisis.
At the time of publication, Congress was due to officially consider Peña’s resignation on the same day. After it was accepted, Vice President Pedro Alliana was to be sworn in as president and complete Peña’s term through August 2028. Lawmakers were also to elect a new vice president.
More current news is available on the UA.News Telegram channel Telegram.
Ueno Bank crisis
Paraguay’s central bank took control of Ueno Bank after regulators found improperly documented loans to companies linked to the bank’s owners, as well as expenses that were incorrectly recorded as assets. After the accounts were adjusted, the bank’s capital was found to be less than half of the legally established minimum.
The regulator said it intended to transfer customers’ accounts and assets that still retained value to other banks and then liquidate the institution. According to NPR, new accounts at other institutions began to be opened for approximately 280,000 people who used only Ueno Bank.
Authorities detained eight Ueno executives, including founder Miguel Vázquez and bank president Juan Manuel Gustale. Prosecutors also charged 27 bank employees and business partners in cases involving, among other things, breach of trust and attempted fraud.
Protesters demanded that their savings be returned and that Peña be removed from office. Police used pepper spray and rubber bullets against the crowd. Until last year, Peña owned a stake in Ueno Bank’s holding company.
