Paraguay’s Senate resumed impeachment proceedings against President Santiago Peña on Friday. This move followed his resignation on Thursday after the collapse of the digital lender ueno, which had links to him. Lawmakers filed charges as the central bank intervened in the bank, leading to arrests and a major political crisis.
ASUNCION, Nov 6 (Reuters) - Paraguay's Senate went ahead with an extraordinary meeting on Friday to decide on the future of President Santiago Peña, who had submitted his resignation the prior day.
The Senate has resumed impeachment proceedings against Peña after he handed in his resignation on Thursday following the collapse of a prominent digital lender, ueno, to which he had former business links.
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On Thursday evening, lawmakers acting as prosecutors filed the charges for his impeachment; the next step is for Peña to defend himself, for which he has requested a 72-hour extension.
The turmoil began earlier this week after Paraguay's central bank intervened in ueno, saying the fast-growing digital bank had breached minimum solvency requirements. The fallout has already forced out the central bank chief and led to arrest warrants for eight ueno executives, who later turned themselves in.
Reporting by Daniela Desantis in Asuncion; Adittional reporting by Aida Pelaez-Fernandez; Editing by Lucinda Elliott