New IPS management finds 67 inherited criminal cases amid delays

The new management of Paraguay's social security institute has found 67 inherited criminal cases, including high-impact investigations and delays of up to a decade, and plans to speed up investigations to recover funds.

New IPS management finds 67 inherited criminal cases amid delays
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Paraguay's Social Security Institute (IPS) has 67 ongoing criminal cases, a figure that far exceeds the initial estimate of 38 cases and reveals years of judicial delays. The discovery was made after a thorough review by the new management, which has committed to ordering what they classify as an inherited administrative chaos.

The institution's legal director, Pablo Morínigo, explained that the IPS is a complex structure, comparable to several ministries combined with a financial and real estate entity. He stated that when analyzing the case files, constant questions arise about why many actions were not taken earlier, leaving problems unresolved.

The oldest case dates back to 2016, Case No. 80, related to bonds from the Development Finance Agency (AFD), which remains unresolved after a decade. The year with the highest number of cases opened was 2024, with 25 cases, followed by 2025, with 18, and 2026, with eight registered so far.

Morínigo highlighted as one of the highest-impact investigations the case involving the Union of Employers, where company data was allegedly altered to conceal debts and obtain compliance certificates irregularly. The new strategy of the Legal Directorate is to avoid complaints with million-dollar figures without solid evidence, prioritizing proving the crime before quantifying losses.

At least 25 of the cases have economic content, including allegations of fraud, tax evasion, bribery, and embezzlement. The current administration, led by Isaías Fretes since April 2026, plans regular visits to the Public Ministry and the Judiciary to expedite investigations and seek the recovery of misappropriated funds, which directly affect the workers who sustain the system.

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Updated: Jul 6, 2026, 1:22 AM