The criminal association charge adds to existing accusations of self-dealing and breach of trust against Santiago Pena, who remains held in a military facility following his removal from office. The digital bank managed state pensions and held over $800 million in public funds before failing, which left customers unable to access their savings. While the Central Bank has reimbursed more than 1.8 million depositors, investigators are now pursuing legal measures to freeze missing assets discovered abroad.
Key points
Santiago Pena faces criminal association charges just one week after Congress removed him…: Santiago Pena faces criminal association charges just one week after Congress removed him from office through impeachment.
Over 1.8 million depositors have received their savings back from the Central Bank follow…: Over 1.8 million depositors have received their savings back from the Central Bank following nationwide protests over locked accounts.
Prosecutors located missing assets in foreign jurisdictions and are pursuing legal steps…: Prosecutors located missing assets in foreign jurisdictions and are pursuing legal steps to freeze them with international assistance.
Sources checked by our analysis pipeline: 1
The criminal association charge over his alleged role in the collapse of the bank comes a week after his removal.
Paraguayan prosecutors have charged former president Santiago Pena with criminal association over his alleged role in the collapse of the digital bank Ueno, a week after Congress removed him from office.
The prosecutor’s office announced the new charge on Friday, adding to the breach of trust and self-dealing charges already facing Pena, who is being held in pretrial detention at a military facility.
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list of 1 itemend of listThe 47-year-old former leader is accused of using his position to direct millions in government funds to Ueno and concealing or downplaying its financial troubles, despite warnings of risky lending practices, while having financial ties to the bank.
He denies all charges.
Pena, who entered office in 2023, held a stake in the bank’s holding company until last year.
On Thursday, investigators raided his official residence in the capital, Asuncion. The prosecutor’s office said agents from the economic crimes unit were extracting data and gathering relevant information for the investigation.
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