Public Prosecutor’s Office formally charges five over alleged use of municipal resources on private project in Asunción

Five people have been formally charged over their alleged participation in using asphalt, machinery, trucks and municipal employees to pave private property. Criminal responsibility has not been established.

Public Prosecutor’s Office formally charges five over alleged use of municipal resources on private project in Asunción

Five people have been formally charged over their alleged participation in using asphalt, machinery, trucks and employees of the Municipality of Asunción to pave private property. The case, known as the “asphalt mafia,” involves work carried out on July 11, 2026, on the Condor SACI property on República Argentina Avenue in Asunción.

The charges were filed by prosecutors Luis Lionel Piñánez and Christian M. Benítez Cáceres of the Public Prosecutor’s Office’s Specialized Unit for Economic Crimes and Anti-Corruption. Antonio Prieto Cané, a retired former municipal employee, is identified as responsible for coordinating the work under the trade name AP Construcciones Obras Viales.

Also formally charged as alleged co-perpetrators of the offense of misappropriation were Dirección de Vialidad employees Juan Ramón Galván Aponte, Francisco Javier Valenzuela Lugo and Derlis Rubén Largo. Lilian Ramona Benítez Ortiz was charged as an alleged accomplice for handling the issuance of the invoice and receipt of payment. The charges describe the defendants’ procedural status; criminal responsibility has not been established.

According to the investigation, a team of 10 workers resurfaced 1,254 square meters at the entrance to the company’s workshop and washing area. The estimate submitted in the name of AP Construcciones totaled G. 181,830,000, and Benítez Ortiz allegedly cashed an advance-payment check for G. 81,709,091.

The Public Prosecutor’s Office preliminarily estimates the loss to municipal funds at G. 100 million, corresponding to the alleged use of public resources. The investigation into the private work points to about 70 metric tons of asphalt mix. Separately, Dirección de Vialidad’s intervenor, Óscar Pérez, reported that 74 tons produced on July 11 had no documentation explaining their destination. The figures come from related but distinct investigative findings and do not necessarily represent the same quantity.

Camera footage, entry records and internal spreadsheets are cited in the charges as supporting evidence. The records allegedly show the arrival of two Mercedes-Benz trucks from the municipal fleet, as well as a Manitou backhoe loader, a Dynapac roller and an Ammann paver. The investigation maintains that there was no legitimate work order for the activity that day.

The prosecutors asked Judge Francisco Acevedo, who is overseeing the case, for alternatives to pretrial detention, including periodic reporting and a ban on leaving the country. They requested six months to conclude the investigation. The Municipality of Asunción said the people involved had been subjected to administrative proceedings.

Beyond individual responsibility, the case highlights possible weaknesses in municipal controls over asphalt stocks, machinery use, vehicle movements and staff allocation. The alleged diversion of materials intended for public works matters because it could affect municipal assets, public-service delivery and confidence in procurement and oversight systems. The charges are a formal accusation, and criminal responsibility will still have to be assessed by the courts.

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Updated: Aug 28, 2026, 1:00 AM