Santiago Peña, dismissed by Congress as president of Paraguay
The impeachment trial concluded in less than 10 hours with the unanimous dismissal of the 44 senators; Pedro Alliana assumed the presidency until 2028
Quick Look
- The Congress of Paraguay dismissed President Santiago Peña unanimously among the 44 senators after a political trial that lasted less than 10 hours, linked to the Banco Ueno fraud that left almost three million people without savings.
- Pedro Alliana assumed the presidency until August 15, 2028, while the Public Ministry opened three criminal cases against Peña.
AI-generated summary
Why It Matters
Banco Ueno was liquidated by the Central Bank of Paraguay, leaving almost three million people, 60% of the adult population, without savings. Santiago Peña faced impeachment for his alleged responsibility in the entity's financial fraud. Fernando Lugo was impeached in 2012 in what many considered a parliamentary coup.
At 6:50 p.m., Paraguayan time, the 44 senators of the Paraguayan Congress issued the same unanimous cry: “For the conviction!” The political trial that threatened to last for several days concluded on Friday in just under 10 hours, with the majority decision of the senators, including those of the Colorado Party in Government, to dismiss President Santiago Peña, accused of being responsible for the financial fraud of Banco Ueno. The entity was liquidated by the Central Bank, leaving almost three million people without savings, 60% of Paraguay's adult population.
In the square in front of Congress, thousands of citizens burst out with shouts of joy, raising flags and singing the song Patria querida.
Peña first tried to present his resignation; They did not accept it. Afterwards, he sought to buy time and asked Congress for a 72-hour extension to prepare his defense, but the senators denied it. They gave him a deadline of just half an hour.
Peña, who in mid-morning released a photo with an angry and defiant face, announced that he would appear at trial, but finally decided not to appear, sending his defenders, lawyers Adolfo Ferreiro and Ricardo Preda. Ferreiro is known for having also defended President Fernando Lugo when he was impeached and dismissed in 2012, in what many then considered a parliamentary coup.
With some delay, Peña's trial resumed during the siesta hours, allowing the two lawyers to present their presentations. They focused their strategy on questioning the legal procedure, the viability of the accusation and the effects of the president's resignation.
The lawyers argued that the trial was carried out under a “material impossibility of defense.” They detailed that the accusatory libel (which consisted of hundreds of pages and annexes) was transferred to them late the previous night, giving them less than 12 hours to analyze the file before the hearing.
Adolfo Ferreiro argued that the impeachment trial lacked purpose and meaning because Santiago Peña had already submitted his voluntary resignation to the presidency. He argued that Congress acted arbitrarily by not immediately addressing or accepting the resignation, pointing out that there are parliamentary precedents where the process stops once the accused resigns.
The defense disqualified the accusation document, ensuring that it lacked legal rigor and solid evidentiary foundations. Ricardo Preda argued that the process cannot be based solely on “indications” or “gossip” regarding the alleged links and the Ueno Bank crisis.
They warned that, by not complying with the basic guarantees of due process, the impeachment trial is void. They assured that this situation will force Peña to appeal to the Inter-American Court of Human Rights (IACHR), exposing the Paraguayan State to an imminent international sanction.
When responding to the financial causes related to the collapse of the entity linked to the president, the defenders relativized the direct responsibility of the Executive stating that “banks fall everywhere,” seeking to distance Peña's decisions from the solvency problems of the private institution.
Despite the extensive technical exposition, it was clear that the political decision had already been made previously. It didn't matter much what the lawyers said; The parliamentarians were determined to dismiss Peña unanimously, which occurred after hastily completing the bureaucratic processes.
Shortly after 6 p.m., Santiago Peña said goodbye with a message on his social networks: "I submitted my resignation to avoid further damage to the country and contribute to restoring tranquility to Paraguay. I do not want my presence to be a reason for greater division or instability (...) I say goodbye with gratitude, without ignoring the anguish of those who are waiting for answers today."
The vice president, Pedro Alliana, assumed the presidency at nightfall. “Alliana is another character complicit in what happened, who responds to the interests of her mentor and godfather Horacio Cartes, president of the Colorado Party, just as Santiago Peña was before, but we accept this situation to give institutional continuity to the progress of the country,” summarized opposition senator Rafael Filizzola.
Hércules Pedro Lorenzo Alliana Rodríguez, 52 years old, born in Pilar, southern Paraguay, was governor of his department of Ñeembucú and president of the Colorado Party. In previous years, he faced complaints and questions about alleged cases of nepotism and influence peddling linked to the hiring of family members in State institutions.
His daughter, Montserrat Alliana Encina, was hired in the Chamber of Deputies in 2018 and subsequently obtained salary increases (earning more than 18 million guaraníes per month). The complaints also pointed to his wife (Fabiana Souto), his brother-in-law (Rodrigo Souto) and other relatives with positions or ties in different state entities. Currently, he is included in the criminal complaint for emptying the Ueno bank, for having known what was happening and having shared the political maneuvers of Santiago Peña.
Alliana is expected to make several changes in the ministries and the Central Bank, after the Ueno bank debacle, to try to minimize the effects of the political and economic crisis. He will govern until August 15, 2028. He will no longer have the chance to run for re-election as president or for parliamentary positions.
It is also expected to see what determination justice will have with Santiago Peña in the next few hours. The Public Ministry opened three criminal cases for illicit enrichment, money laundering, influence peddling, administration for personal gain and abuse of power. There is speculation that he could be arrested and imprisoned.
What to Watch
AI outlook — possibilities, not facts
Santiago Peña will present an appeal before the Inter-American Court of Human Rights
Likely · Within weeks
Pedro Alliana will make changes in the ministries and the Central Bank
Very likely · Within days
Santiago Peña could be arrested and imprisoned
Possible · Within hours
Open Questions
- What will be the result of the three criminal cases opened against Santiago Peña?
- Will the former president be arrested and imprisoned?
- What changes will Pedro Alliana make in the ministries and in the Central Bank?
- Will Santiago Peña file an appeal before the Inter-American Court of Human Rights?







