Wire reporting: (AP, via Anchorage Daily News), (Reuters, via Al Jazeera)

Paraguay's Senate on Friday, Nov. 6, removed President Santiago Peña from office over the collapse of digital lender Ueno Bank, then prosecutors placed him under house arrest as Vice President Pedro Alliana was sworn in to serve through August 2028^2,3,7.

All 44 senators present voted to convict Peña of poor performance of his duties, with one senator absent, including members of his Colorado Party, after a trial lasting about 10 hours^2,3,9.

Peña had offered to resign Thursday, but Congress did not accept it; impeachment instead of resignation denied him the lifetime Senate seat and immunity given to former presidents^2,3,7,10.

Paraguay's central bank seized Ueno on Tuesday after finding its solvency ratio below half the legal minimum and citing irregular loans to companies tied to its owners, freezing accounts for nearly 3 million customers, about 60% of adults^3,7.

Public and pension money was also at the bank: DW reported the Social Security Institute (IPS) held $355 million there, about 9% of its investments, according to financial manager Gladys Vera, and Ueno held hundreds of millions of dollars in public-sector deposits⁷.

Peña, an economist who took office in August 2023, held shares in Ueno's holding company until April 2025 and appointed former Ueno executive Carlos Carvallo to run the central bank in 2023; lawmakers alleged conflicts of interest, diverted pension funds and a cover-up^2,7.

Peña has denied wrongdoing^2,3. His lawyer Ricardo Preda called the allegations a reckless accusation that was irresponsible and opportunistic, BBC reported².

Prosecutors ordered house arrest over alleged economic crimes including breach of trust, influence peddling and self-serving administration; BBC said he has been charged^2,3,8. The order also covers Carvallo, according to AP reporting carried by MercoPress^3,6.

Alliana said compatriots going through a difficult time as a result of the financial collapse will be fully compensated^2,9. RTÉ said a motion to impeach Alliana failed; AP reporting said prosecutors have also opened investigations that include Alliana^6,9.

Protests filled Asunción as customers queued at closed branches; police used tear gas and water cannons at some demonstrations, BBC said². Advance payments of up to about $1,500–$1,600 began Thursday for some depositors, officials said^8,9.

Authorities have charged dozens of bank officials; DW said eight senior executives were detained, including founder Miguel Vazquez, and 27 people were charged⁷. What share of deposits will be returned, and on what timetable, remains unset^7,9.