A judge has ordered the pre-trial detention of former Paraguayan President Santiago Peña, who was earlier charged in a criminal case, infohub.kz reports.

According to Deutsche Welle, Peña was taken into custody for the duration of the preliminary investigation into his role in a banking crisis that has affected several million people in the country.

"It is necessary to ensure that he remains in the country," Judge Humberto Otazu said.

In addition, prosecutors have requested that the assets of Peña and former Central Bank of Paraguay Governor Carlos Carvalho, who faces similar charges, be frozen. Peña reportedly refused to testify in court.

Earlier, it was reported that Paraguayan President Santiago Peña announced his resignation amid the collapse of Ueno Bank, where accounts of about 3 million clients have been frozen.

Later, Paraguay's Attorney General's Office opened criminal cases against President Santiago Peña and other officials.