Paraguayan prosecutors seized a yacht, a private aircraft, nine luxury cars valued at $14 million, and records in an investigation into suspected financial wrongdoing involving Banco Ueno and businesses linked to its controlling group. (Foto: Instagram)
Paraguayan prosecutors have seized a yacht, a private jet, nine luxury cars and records as part of an investigation into suspected financial wrongdoing involving Banco Ueno and businesses connected to its controlling group. The seizures targeted businesspeople associated with Grupo Vázquez, the bank’s majority shareholder, as authorities examine whether financial transactions involving the bank and related companies caused losses and contributed to the country’s economic and political crisis.
The yacht, made by Italian manufacturer Azimut Yachts, belonged to Miguel Vázquez, a former chief executive of Grupo Vázquez and Banco Ueno, according to the report. Investigators also seized a Beechcraft King Air 300 private aircraft attributed to Vázquez. It was found in a hangar at Silvio Pettirossi International Airport in Luque. Nine luxury vehicles, valued at $14 million, were seized at the home of Banco Ueno’s chief executive in Asunción, the capital.
The Paraguayan Public Prosecutor’s Office said its investigation is seeking to determine whether the Ueno Bank holding company coordinated financial operations inside and outside the bank through links with multiple companies that shared directors, addresses and operators. Prosecutors believe the transactions may have caused financial losses. Searches also took place at Banco Ueno offices and locations connected to Grupo Vázquez, where authorities seized documents, computers and cellphones. Prosecutors said computer equipment and safes were found and would be opened with the help of a qualified professional to avoid damaging their security mechanisms.
Miguel Vázquez and seven other members of Banco Ueno’s board were arrested in connection with the case. According to the Central Bank of Paraguay, the bank issued loans above legal limits to companies tied to its own business group, a practice that compromised its liquidity. Those arrested are accused of alleged breach of trust and other crimes. Opposition lawmakers have also argued that the group linked to the bank expanded rapidly during the administration of President Santiago Peña, who was previously a shareholder in the financial institution.
The Central Bank ordered Banco Ueno to cease operations on Nov. 3, saying the digital bank was insolvent and unable to meet its obligations. The authorities suspended its operations and began a resolution process. Prosecutors also requested a criminal investigation into the bank and sought the arrest of its executives. The inquiry centers on suspicions about the bank’s management and loans to companies linked to its controlling group, which may have weakened the bank’s financial position.
The crisis has also affected the Central Bank’s leadership and the presidency. Carlos Carvallo, who had led the monetary authority since 2023, resigned; before joining the central bank, he had been president of Banco Ueno. Peña, an economist, faced an impeachment request amid the financial turmoil. He held shares in Ueno Holding, a company associated with the bank’s controlling group, until March 2025. Peña has decided to resign, but Congress must determine whether to accept his resignation; he is expected to submit it formally to the legislature.
