The Associated Press and Reuters independently reported that Judge Humberto Otazú ordered Santiago Peña held in pretrial detention at a military facility on Nov. 7, after his removal from office and prosecutors' charges connected to Ueno Bank. Both describe the measure as custody during an investigation; it is not a conviction. Reuters reported Peña denied wrongdoing through his lawyer and that he characterized Ueno's problems as a regulatory matter. The original judicial order could not be obtained in the sources reviewed, and Paraguay's Public Ministry page on the earlier prosecutorial arrest order timed out when opened; this report attributes the court decision to AP and Reuters. A bounded search for photographs of Peña's Nov. 7 detention found current event images offered by AP and Reuters under agency licensing, with no reusable rights established. The lead is an archive photograph of Paraguay's Palace of Justice by FF MM (photographed Sept. 16, 2009; perspective correction credited to Fulvio314), licensed CC BY-SA 3.0; the inline photograph is an Asunción panorama from the Ministry of Defense by Felipe Antonio (photographed Jan. 23, 2009), licensed CC BY-SA 3.0. Neither image depicts Peña, the judge, the military facility or the current proceedings. Original JPEGs are retained in public/newsroom/source-originals/paraguay-pretrial-detention-2026. Display copies were proportionally resized, with no crop or content retouching, and converted to WebP at quality 84. Both share-alike licenses apply to adapted copies.
A custody decision, not a verdict
A Paraguayan judge ordered former President Santiago Peña held in pretrial detention at a military facility on Saturday, Nov. 7, according to separate reports by Reuters and The Associated Press. The order came a day after Congress removed him from office and prosecutors sought custody while they investigate alleged misconduct connected to failed digital lender Ueno Bank.
The decision put Peña in court-ordered pretrial detention at the military facility. AP reported he had earlier been placed under house arrest and was transferred to the base late Friday; Reuters and AP say Judge Humberto Otazú ordered him held there on Saturday. Reuters reported that Otazú said custody was needed to ensure Peña remained in Paraguay while the case proceeded. The order is a pretrial measure: it does not decide whether the allegations are true.
Prosecutors allege abuse of office
Prosecutors charged Peña with breach of trust and administration for personal gain, the Associated Press reported. Reuters said investigators allege he used presidential influence to encourage public agencies and state-owned entities to keep money deposited at Ueno while he retained financial ties to the lender's holding company until March 2025.
Reuters said investigators allege he used presidential influence to encourage public agencies and state-owned entities to keep money deposited at Ueno, despite his having been a shareholder in the lender’s holding company until March 2025.
The case moves beyond the political crisis
The detention order followed a rapid sequence of events: authorities intervened in Ueno, prosecutors opened a criminal investigation, and lawmakers removed Peña from the presidency. Vice President Pedro Alliana was sworn in to complete the term, Reuters reported. Ueno's failure has also left customers struggling to access accounts, though deposit-guarantee payments have begun.
The immediate legal question is whether prosecutors can substantiate their allegations as the investigation advances. The court's decision to hold Peña before trial changes his liberty and the stakes of the inquiry, but it does not settle the separate questions of political responsibility, bank oversight or criminal guilt.
Sources
2 references
- ReutersJudge orders Paraguay's ex-president Peña held before trialIndependent reporting on the judge's Nov. 7 order, the military facility, stated reason for detention, charges, and Peña's denial through his lawyer. · 2026-11-07
- The Associated PressParaguay's ousted president charged with crimes linked to collapse of major bankIndependent reporting on the charges and Judge Humberto Otazú's subsequent order placing Peña at a military base while the investigation continues. · 2026-11-07
