Late night political drama as Peña is impeached and arrested

– Paraguay’s President Santiago Peña has been impeached and placed under house arrest after a bank collapse triggered a crisis that left more than half of the country’s population without access to their accounts.

Peña was arrested on Friday minutes after lawmakers, including from his own party, unanimously voted to remove him from office following the collapse earlier this week of Ueno Bank, which has links to his private business interests.

He had offered to step down on Thursday. Rather than accept his resignation, senators impeached Peña and charged him with misconduct, meaning he has been stripped of the immunity usually granted to ex-presidents.

Peña, who until last year held shares in the company that owned the bank, has denied any wrongdoing.

The impeachment charges that led to Peña’s removal alleged he had conflicts of interest, manipulated regulatory oversight, diverted pension funds, and participated in an institutional cover-up involving the central bank.

He is due to be questioned on Saturday over allegations of breach of trust, influence peddling, and misappropriation of funds, prosecutor Silvia Margarita Gonzalez Vester said.

Peña’s deputy, Pedro Alliana, has been sworn in as the new interim president and promised not to “abandon” the millions of people affected by the scandal.

“Compatriots who are now going through a difficult time as a result of the financial collapse will be fully compensated,” said Alliana, who will serve as president until 2028.

This article was originally published by Antigua News Room. Read the original article here: Paraguay's president impeached and under house arrest after bank collapse.