Paraguayan prosecutors and police searched a residence of former President Santiago Peña on Sunday, Nov. 8, in the Ueno Bank case, while two newspapers reported a vault investigators could not open.
The property is in Ciervo Cuá, within the San Bernardino district about 50 kilometers from Asunción. The Prosecutor’s Office confirmed the operation; its statement made no reference to a vault. ABC Color and Última Hora reported that investigators found an armored vault behind a false wall but were unable to open it. ABC Color described a concealed door leading to a corridor and said the vault had a level 7 security system requiring facial or iris recognition, a fingerprint, a PIN and security keys.
Prosecutors charged Peña on Saturday, Nov. 7, with alleged breach of trust as an instigator and self-serving administration as a perpetrator. The search took place the following day as part of the same case.
MercoPress reported that Ueno Bank loans were used to build the residence and that construction cost about 7.7 billion guaraníes, or $1.3 million. Separately, the indictment dates two loans to Peña, totaling 3.548 billion guaraníes (about $600,000), to May 13, 2024. It lists monthly payments of around 239 million guaraníes, an amount approaching six times Peña’s salary.
Prosecutors say Ueno received substantial deposits from public agencies during Peña’s term and made loans they characterize as irregular to companies tied to the Vázquez Group, the bank’s owners. They put the alleged loss at $809.5 million. MercoPress reported that Peña held shares in the bank’s controlling group until 2025; Peña says he is innocent. Paraguay’s attorney general has opened three investigations into Ueno Bank’s resolution and public funds held there.
MercoPress reported that President Pedro Alliana ordered people affected by the bank’s closure not to pay related fines, late-payment surcharges or interest. Alliana said nearly 1.2 million savers had recovered deposits totaling about $158 million, with repayments to continue through the week.
