Paraguay’s Senate removed President Santiago Peña over a bank collapse. Vice President Pedro Alliana was sworn in afterward.
Paraguay’s Senate removed President Santiago Peña on Friday over his past links to a collapsed digital bank, and Vice President Pedro Alliana was sworn in as the country’s new president shortly afterward. Forty-four senators voted to oust Peña, according to Al Jazeera, with one abstaining. Prosecutors then placed him under house arrest.
Peña had offered to resign Thursday, but Congress rejected the offer and continued the impeachment. The bank, Ueno, held accounts for nearly half of Paraguay’s roughly six million people. Its collapse left many depositors unable to reach their savings. Peña was a shareholder in its parent company until last year, and the central bank chief previously headed Ueno.
Asuncion is the capital of Paraguay.
Prosecutors said the charges were still being determined but could include breach of trust and influence peddling. Peña was ordered to appear at the prosecutor’s office Saturday morning. CNN reported the attorney general has opened three criminal cases tied to the crisis. Peña has denied wrongdoing and called the matter a regulatory issue.
Alliana, 52, served as vice president under Peña and will finish the term, which ends in August 2028. Congress declined to open impeachment proceedings against him. CBC reported Alliana is himself under investigation in connection with the bank’s collapse. He said the country has urgent needs.
This report draws on Al Jazeera, CNN, CBC, Reuters and TBS News.