Paraguay's President Santiago Peña impeached and arrested

What the report says

Paraguay’s President Santiago Peña has been impeached, arrested and placed under house arrest after a banking crisis linked to a digital bank tied to his past business interests. According to BBC World News, lawmakers voted overwhelmingly to remove him after the collapse of Ueno Bank triggered a nationwide financial crisis and public anger over blocked savings and pensions.

The report says Peña had offered to resign a day before the impeachment vote, but senators instead charged him with misconduct and stripped him of the legal protections usually available to former presidents. His arrest followed minutes after the vote. BBC World News reported that he has denied wrongdoing, while prosecutors are preparing to question him over allegations including breach of trust, influence peddling and misuse of funds.

The bank’s seizure by Paraguay’s central bank left millions of depositors unable to access their money, prompting protests, especially in the capital, Asunción. Vice-President Pedro Alliana was sworn in as interim president and promised compensation for affected citizens. The case is being described by Paraguayan lawmakers as a major corruption scandal, and analysts cited by the broadcaster say Peña may now face prosecution. The events are significant because they combine financial instability, allegations of corruption and a transfer of presidential power in a period of public unrest.