Paraguay’s prosecutors searched the home of former President Santiago Peña in Asunción as part of the investigation into the collapse of Ueno Bank. The operation on November 9 lasted nearly five hours, and investigators seized documents, mobile phones, security camera recordings, tablets and computers. The home of former Central Bank Governor Carlos Carvallo was also searched, as was the headquarters of Ueno Casa de Bolsa.
„This was a fairly important procedure, and we believe it was positive because of the quantity of documents we found,“ prosecutor Elena Fiore told reporters. She and prosecutor Laura Giacumo led the operation at Peña’s home in Asunción. The two former state officials are being held in pretrial detention in connection with the case, but the charges against them do not constitute proven guilt.
Assets abroad being sought
Prosecutors are investigating possible investments and assets belonging to Peña outside the country. Paraguayan authorities have sought assistance from Luxembourg over the possible freezing of crypto assets and stock market investments linked to the former president. Contact is also being maintained with Argentina, while the U.S. Department of Justice has offered assistance.
The aim of these actions is to locate and secure funds that could potentially be returned to Paraguay and used to compensate depositors affected by the bankruptcy of Ueno Bank. The investigation covers the placement of public and pension funds in the bank, as well as decisions made by supervisory authorities.
Safe in another Peña residence
A day earlier, prosecutors searched another Peña residence in San Bernardino, about 50 kilometers from Asunción. A sophisticated safe was found there, but it was not opened during the operation. A technical device needed to open it is expected to be located.
Peña has been charged on suspicion of breach of trust and management for personal gain. In the same case, Carvallo has been charged with breach of trust and the preparation of documents containing false information. According to data cited by EFE, prosecutors have charged a total of 27 people.
The case led to a serious political crisis after the Central Bank placed Ueno Bank under supervision because of solvency problems. On November 6, the Senate removed Peña from the presidency, and his deputy, Pedro Alliana, took over the country’s government until the end of the term.
Sources: rtve.es, amp.dw.com, efe.com