Both celebrated and notorious in life, Peñaloza was commemorated by writer José Hernández, who wrote Vida del Chacho within weeks of Peñaloza's death, and by poet Olegario Víctor Andrade.
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In 1963, he directed La fusilación or El último montonero, co-written with Félix Luna and with music by Ariel Ramírez, about the bloody death of caudillo Ángel Vicente Peñaloza, which won the prize for best director at the San Sebastian International Film Festival.