The Paraguayan Prosecutor's Office carried out a series of operations on Thursday against the alleged "asphalt mafia," investigating the irregular use of public funds from the Municipality of Asunción for private construction projects. The procedures were conducted by prosecutors Luis Piñánez García and Christian Benítez Cáceres from the Specialized Unit for Economic Crimes and Anti-Corruption (UDEA).
With authorization from the Second Turn Court for Guarantees in Economic Crimes, search and seizure operations were executed at three establishments: AP Construcciones, Condor SACI, and Punto Perón. During the interventions, it was confirmed that the alleged company supplying the asphalt services did not exist, while at the other locations, documents and digital data were seized for analysis to verify the allegations.
The investigation began after media reports showed alleged municipal employees using city machinery and supplies to pave a private sports complex. According to the complaints, approximately 900 square meters were paved using roughly 70 tons of asphalt mix, causing an estimated loss to public funds of over G. 100 million.
The work was allegedly carried out on June 3 and June 17, 2026, during the municipal teams' working hours. Audiovisual records reportedly show employees performing the work using municipal machinery. Furthermore, there are suspicions of irregular charges of G. 350,000 per square meter paved, funds which allegedly did not enter the municipal treasury.
The investigation also covers a second project allegedly completed using public resources in the parking lot of a private commercial establishment. During sessions of the Municipal Board, videos were shown that reportedly again displayed municipal machinery and alleged municipal workers carrying out paving work.
With the seized documentation, the Prosecutor's Office will seek to determine if there was a systematic scheme of using public assets for private works and whether charges can be brought against officials or private individuals for alleged acts of corruption.