The Chamber of Deputies did not move forward with a request for intervention and audit of the Peace Courts in light of complaints linked to the alleged promissory note usury scheme. The declaration bill submitted by opposition deputy Miguel Martínez was referred to several committees for review after questions were raised about its wording.
The proposal asked the Supreme Court of Justice to urgently order a management audit of promissory note enforcement proceedings in Peace Courts across the country, with the aim of dismantling what the text describes as a scheme of judicialized usury. In his justification, Martínez stated that the country is "orphaned by justice" and that farmers are not the only victims of fraud. "I ask the Court to audit the Peace Courts and to deliver justice, to deploy all available means to find a mechanism. The situation is serious," he declared.
The document argues that recent reports have exposed a usury ring that uses the Peace Courts as an enforcement arm to carry out abusive seizures against the public, a practice that, according to the proposal, "perverts the jurisdictional function and leaves families in a state of economic defenselessness." The initiative maintains that the Supreme Court, exercising its constitutional supervisory authority, has a duty to audit judges and court staff who enable this system.
During the session, the leader of the Cartista caucus, Miguel Del Puerto, acknowledged that the bill's introductory paragraph seemed well drafted, but raised concerns about the body of the text. "I like the introductory paragraph. The introductory paragraph is beautiful." However, he stated that he found problems with the wording and called for greater responsibility in drafting the proposal. Without a conclusive opinion, the bill was sent to committee, as Del Puerto had advocated.
Peace Courts in Paraguay are local-level courts that handle minor civil and criminal matters, often in rural areas, and are intended to provide accessible justice. The case has implications for the rule of law and the investment climate in Paraguay, since the perception that the judiciary can be instrumentalized by usury schemes undermines investor and citizen confidence in judicial oversight and legal security.
