Key points
- Prosecutors issued an arrest warrant for Santiago Peña on Friday evening, shortly after the Senate voted 44-0 to remove him from office over his links to the collapse of digital bank ueno, Reuters reported.
- Police arrested Peña at his home in Asunción; he will remain under house arrest until he appears before the Public Prosecutor's Office's Economic Crimes and Anti-Corruption Unit, ABC Color reported.
- Prosecutors are investigating alleged breach of trust, influence peddling and misappropriation of funds linked to ueno; Peña denies wrongdoing and is expected to be questioned on Saturday, the Associated Press reported.
- A warrant was also issued for Carlos Carvallo, the former central bank chief, Xinhua reported.
- Vice-President Pedro Alliana was sworn in as president on Friday evening to complete the term, which runs to 15 August 2028, Reuters reported.
Paraguay's former president Santiago Peña has been arrested and placed under house arrest, hours after the Senate removed him from office over his connection to the collapse of digital bank ueno. Prosecutors issued the warrant on Friday evening, shortly after the impeachment vote, Reuters reported, and police officers carried it out at Peña's home in the capital, Asunción.
The key figures
| Measure | Figure | Source |
|---|---|---|
| Senate vote to remove Peña | 44-0, with one senator absent | Reuters; El Trueno |
| Lower-house vote to impeach Peña | 78-0, on Thursday 5 November | Associated Press; Reuters |
| Ueno customers unable to reach their money | About three million | Reuters; Associated Press |
| Public money held at Ueno, including pension and health funds | $800 million to $850 million | Associated Press |
| Bank officials and associates charged | 27 | Associated Press |
| Warrant also issued for | Carlos Carvallo, former central bank chief | ABC Color; Xinhua |
| Peña to appear before prosecutors | Saturday morning | ABC Color |
| Term Vice-President Pedro Alliana would complete | To 15 August 2028 | Reuters; El Trueno |
Arrested at home
National Police officers carried out the prosecutor's order at Peña's residence on Friday evening and formally arrested him there, ABC Color reported. An officer outside the house told reporters that Peña had been notified and would officially be under house arrest. Prosecutor Silvia González confirmed to the press that Peña was at his home and had made himself available to the authorities.
The charges
Prosecutors say Peña is under investigation for alleged breach of trust, influence peddling and misappropriation of funds, linked to the supervision of ueno and the deposit of public money in the bank, the Associated Press reported. The warrant also covers Carlos Carvallo, who headed the Central Bank of Paraguay until he resigned on Tuesday and previously ran the financial company that was the predecessor of ueno, Xinhua reported. Peña denies wrongdoing. Read more: Paraguay's Senate removes President Santiago Peña over Ueno bank collapse
The crisis began when the central bank took control of ueno on 3 November, after the lender's capital fell below half of the legally required level, the Associated Press reported. The collapse froze the savings of about three million customers and left between $800 million and $850 million in public money — including state pension and health funds — inside the bank. Prosecutors have charged 27 bank officials and associates, and a judge has ordered six executives held in pretrial detention.
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What happens next
Peña is expected to be questioned by prosecutors on Saturday, after reporting to the Economic Crimes and Anti-Corruption Unit. The arrest does not amount to a conviction: any criminal responsibility will be decided by the ordinary courts. Vice-President Pedro Alliana, 52, was sworn in as president on Friday evening to complete the term, which runs to 15 August 2028, Reuters reported. Europe Unfolded will report the progress of the criminal cases as they are confirmed.
Updates & corrections
Published 7 November 2026.
Sources
- Reuters, "Paraguay authorities order ex-president's arrest after impeachment", 6 November 2026, on the prosecutor's office sending an arrest warrant for former President Santiago Peña on Friday, shortly after he was impeached by lawmakers: reuters.com
- Reuters, "Paraguay's Alliana sworn in as president after Peña impeachment", 6 November 2026, on lawmakers swearing in former Vice-President Pedro Alliana to lead the country on Friday, replacing President Santiago Peña after his impeachment: reuters.com
- Associated Press, via Khaama Press, "Ousted Paraguay President Placed Under House Arrest", 7 November 2026, on prosecutors ordering Peña's arrest, on police placing him under supervision at his residence in Asunción, and on the central bank taking control of ueno on 3 November after its capital adequacy ratio fell below half the legally required level: khaama.com
- ABC Color, via Wealth Adviser, "Peña Arrested at Home After Impeachment in Paraguay", 7 November 2026, on National Police officers carrying out the prosecutor's order and arresting Peña at his residence, on prosecutors asking that he remain detained at his home until he is placed at the disposal of the Public Prosecutor's Office, and on the Senate unanimously approving his impeachment on Friday: wealthadviser.co
- Últimas Noticias, "Paraguayan police arrest Santiago Peña after he was dismissed by the Senate", 7 November 2026, on the arrest warrant being executed on Friday, on Peña being notified at his residence and placed under house arrest until he is brought before the Economic Crimes and Anti-Corruption Unit, and on prosecutor Silvia González confirming he was at home and had made himself available: en.ultimasnoticias.com.ve
- Xinhua, via Vietnam.vn, "Former Paraguayan President Placed Under House Arrest", 7 November 2026, on all 44 senators present voting unanimously to remove Peña, on the arrest warrant also covering former central bank chief Carlos Carvallo, and on the National Police confirming Peña was detained at his home in Asunción: vietnam.vn
- Naija News, "Paraguay President, Pena Impeached, Placed Under House Arrest", 7 November 2026, on prosecutor Silvia Gonzalez Vester saying Peña was under house arrest and under investigation for alleged breach of trust, influence peddling and misappropriation of funds, and on Peña being expected to be questioned on Saturday: naijanews.com
- Daily Caller, "Paraguay President Santiago Peña Ousted, Arrested", 6 November 2026, on Peña having to report to the prosecutor's office on Saturday morning, and on the arrest order citing suspected breach of trust: dailycaller.com