Paraguay tightens oversight of Banco Atlas

Banco Atlas, one of Paraguay's licensed banks, is at the center of an active mix of regulatory scrutiny, compliance questions and a criminal case. Prosecutors say it failed to report to SEPRELAD deposits linked to Nicolás Leoz totaling more than USD 5.1 million, while Judge Humberto Otazú rejected a new appeal from Miguel Ángel Zaldívar in the Conmebol case in September, calling it a delaying tactic.

What is keeping Banco Atlas under the spotlight?

The case points to alleged failures in reporting, due diligence and corporate governance at an institution inside the regulatory perimeter of the Central Bank of Paraguay. According to local press, Article 38 of the regulatory framework holds directors responsible for approving transactions that violate the rules, failing to correct irregularities, ignoring supervisory instructions or breaching financial regulations.

In that context, La Tribuna reported that prosecutors say Banco Atlas and IDESA ignored a money laundering alert, and that the bank did not carry out due diligence or report suspicious transactions to SEPRELAD. Separately, La Tribuna reported on August 31 that the BCP said in its May 2026 Financial Stability Report that the Tier 1 capital of Paraguay's financial system reached 12.5%, above the 8% regulatory minimum, and that total regulatory capital stood at 17.8%, compared with a minimum of 12%.

How does the Central Bank fit into this case?

The Central Bank of Paraguay, through its Banking and Insurance Superintendencies, oversees preventive compliance controls on regulated entities in the financial system and can impose sanctions when warranted. Banco Atlas S.A. appears on the updated list of licensed banks, confirming that it falls within that prudential oversight.

ABC Color also reported that the BCP and its Banking Superintendency are being questioned for not publicly explaining which general criteria of accounting prudence, solvency and transparency they apply when overseeing the financial system as a whole. That debate is unfolding while the Atlas case keeps pressure on the governance and compliance standards the regulator expects from the sector.

What changes with data sharing between DNIT and banks?

DNIT and the Association of Banks of Paraguay are moving forward with an agreement to connect the tax system with financial institutions through a web services platform that would allow requests for, and receipt of, information on taxpayers' bank movements in oversight processes.

According to Última Hora, banks could also access sworn declarations, but only with the taxpayer's express authorization. The scheme adds another layer of exchange of sensitive information in the financial system at a time when reporting, due diligence and banking supervision are already under scrutiny because of the Atlas case and the new Data Protection Law 7593/2025.