Former Myanmar AmCham Board Member Detained in Spain on Fraud Allegations

Munimul Islam, a former board member of the American Chamber of Commerce in Myanmar and CEO of Misfit Technologies, was detained in Spain on Tuesday upon arrival at Barcelona's international airport. His detention stems from charges of financial impropriety brought against him by AmCham Myanmar, which Islam and others assert are fabricated.

Islam was arrested based on an Interpol "Red Notice" requested by Myanmar authorities. The allegations center on the hiring of a Washington-based public relations firm, Mercury Public Affairs, to assist with lobbying efforts. AmCham Myanmar claims Islam misappropriated approximately $300,000, asserting the funds were not deposited into the association's bank accounts and that the board never approved the agreement. However, documents indicate the payment was made directly by Islam's company and declared to the U.S. government.

"This is a fabricated case," Islam stated in a voice note after his detention. "We have all the evidence, the press has all the evidence, the Myanmar court has been given all the evidence."

AmCham Myanmar's complaint focuses on the creation of the U.S.-Burma Economic Forum as a lobbying organization by former board president Adam Castillo, an American, and the contract signed with Mercury Public Affairs in 2024. Castillo, along with former executive director Ye Khaung “Danny” Kyaw, an Australian, are also implicated in the case.

Supporters of Castillo provided a signed board resolution that appears to indicate the board approved the lobbying initiative, authorized hiring Mercury, and agreed that Misfit Technologies would provide sponsorship. Minutes from the chamber’s website also suggest the board was aware of and approved the arrangement. Despite AmCham Myanmar's claim that no services were received, the Associated Press confirmed that Mercury organized and attended multiple meetings in Washington with Castillo and others.

Castillo was released in September after three months in Yangon's Insein prison and was compelled to leave Myanmar. He stated that Spanish authorities and Interpol should carefully scrutinize how a dispute within a local chamber of commerce escalated into an international law-enforcement matter. He urged for Islam's immediate release.

Ye Khaung Kyaw was deported last week after accepting a plea deal for breach of trust, with a warning of potential further imprisonment if his case proceeded to trial. The current executive director of AmCham Myanmar, Myat Phyu The, stated that the organization had not been informed of Islam's detention and that decisions regarding charges and detention are matters for the courts.

Myanmar has been under military rule since a 2021 coup led by President Min Aung Hlaing. Critics have contested the legitimacy of subsequent elections, and human rights organizations have reported revisions to the country's legal system to facilitate a crackdown on dissent, with proceedings often closed to the public.

Islam is being held in custody in Spain due to not having a residence there. His attorney, Cristián Carci, stated that Islam is appealing the decision and will fight extradition. Under European Union regulations, extradition to Myanmar could be denied if there is a risk of torture, which the United Nations has described as "systematic" following the military's seizure of power.