An American businessman and former president of the American Chamber of Commerce in Myanmar faces detention in Yangon following allegations of financial misconduct involving $300,000 in unauthorized transactions, raising questions about business governance and accountability in the conflict-torn nation.
Adam Castillo, founder and owner of security risk management firm AGS Myanmar, was detained Thursday at Yangon International Airport, according to Myanmar's Home Affairs Ministry spokesperson, acting police Brig. Gen. Soe Lin Aung. "He was arrested because there was a crime and a lawsuit," the spokesperson confirmed, though authorities declined to provide additional details. Castillo served as president of the American Chamber of Commerce from 2023-2025.
The Financial Allegations
The detention follows the chamber's May 29 annual report, which documented suspect transactions "undertaken by former board representatives" purportedly on behalf of the organization. According to the report, investigators discovered that "a former board representative" had signed a contract in November 2024 with a Washington-based public relations firm, which paid him $300,000 that was "apparently collected and disbursed outside AMCHAM Myanmar's accounts."
The report states that "the signature exceeded the signing limits of individual board representatives, the board never approved the agreement." It adds that "AMCHAM Myanmar received no funds, made no payments, and received no services, and the matter was not disclosed to the statutory auditors." The organization promotes American businesses and referred the matter to a law firm for review after the current board uncovered the irregularities last year.
The report mentions that "two former members of the board" were involved in the case but does not identify either by name or specify what legal action was taken. The chamber's executive director, Myat Phyu The, declined to provide further details but confirmed the annual report "covers the issue at hand." A June 12 statement on the organization's website said the board "has taken appropriate steps to safeguard the interests of the organization and its members."
Business Operations and Background
Castillo's company, AGS Myanmar, told The Associated Press it was an "ongoing matter" and declined to comment further. Castillo did not respond to an email sent through his personal website. Founded in 2013, AGS Myanmar provides services including security, commercial cleaning and pest control, according to its website.
Castillo's company biography identifies him as a former U.S. Marine officer who served in Afghanistan and current chair of "Republican Overseas Myanmar," which it says was established in 2024 to promote "America First policies in Myanmar and across the region." Posts on his Instagram account show that a day before his arrest he attended a business forum in Kuala Lumpur, Malaysia, where he also promoted a recently released book.
Myanmar's Detention Pattern
The U.S. State Department said it was aware of reports that an American had been detained in Myanmar but could not comment further "due to privacy considerations." Myanmar's military-backed government has not released any official statement, and the Yangon regional government office and the Yangon Regional Police Department did not answer requests for more details. Authorities in Myanmar, in the midst of civil war, rarely speak to international media.
Several outlets close to the military, including NP News, reported that Castillo had been arrested after the American Chamber of Commerce filed a complaint against him. Since the military's takeover, Myanmar has seen a rise in reported detentions of foreigners, particularly foreign journalists covering the political crisis.
Myanmar has been wracked by violence since the military ousted democratically elected Aung San Suu Kyi in 2021 and brutally suppressed the nonviolent protests that followed. That triggered armed resistance by pro-democracy guerrillas and ethnic minority militias seeking to oust the military rulers.
Castillo's memoir, "Finding Our Voice," recounts his experiences in Myanmar amid political turmoil, violence and economic collapse following the army takeover, according to its synopsis. It was not clear whether the book played any role in his detention.
Why This Matters:
The detention underscores the risks American businesses and entrepreneurs face operating in unstable jurisdictions where rule of law remains uncertain and political pressures can intersect with commercial disputes. The alleged $300,000 unauthorized transaction raises fundamental questions about financial oversight and fiduciary responsibility within business organizations operating abroad. For American companies considering expansion into emerging markets, the case highlights the critical importance of robust internal controls, transparent governance structures, and clear accountability mechanisms. The incident also demonstrates how financial misconduct allegations can expose business leaders to legal jeopardy in countries where due process protections may be limited and where military-backed governments exercise broad discretionary authority over detention and prosecution decisions.