EJB failing to start with ClassCastException: $Proxy594 cannot be cast to javax.naming.Context in JBoss EAP 5

Issue

• Migrating EJB application to JBoss EAP 5 is failing to deploy with:

2013-02-26 15:17:57,278 ERROR [org.jboss.kernel.plugins.dependency.AbstractKernelController] (main) Error installing to Start: name=jboss.j2ee:jar=example.jar,name=ExampleBean,service=EJB3 state=Create
java.lang.ClassCastException: $Proxy594 cannot be cast to javax.naming.Context
  at org.jboss.util.naming.Util.createSubcontext(Util.java:70)
  at org.jboss.util.naming.Util.bind(Util.java:104)
  at org.jboss.util.naming.Util.bind(Util.java:91)
  at org.jboss.ejb3.proxy.impl.jndiregistrar.JndiSessionRegistrarBase.bind(JndiSessionRegistrarBase.java:932)
  at org.jboss.ejb3.proxy.impl.jndiregistrar.JndiSessionRegistrarBase.bind(JndiSessionRegistrarBase.java:917)
  at org.jboss.ejb3.proxy.impl.jndiregistrar.JndiSessionRegistrarBase.bind(JndiSessionRegistrarBase.java:906)
  at org.jboss.ejb3.proxy.impl.jndiregistrar.JndiSessionRegistrarBase.bindEjb(JndiSessionRegistrarBase.java:159)
  at org.jboss.ejb3.session.SessionContainer.lockedStart(SessionContainer.java:219)
  at org.jboss.ejb3.session.SessionSpecContainer.lockedStart(SessionSpecContainer.java:547)
  at org.jboss.ejb3.stateless.StatelessContainer.lockedStart(StatelessContainer.java:194)
  at org.jboss.ejb3.EJBContainer.start(EJBContainer.java:985)
  ...

The EJB is an EJB3 configured with these annotations:

@Stateless(name="ExampleBean", mappedName="ExampleBean")
@Local({ExampleLocal.class})
@Remote({Example.class})
public class ExampleBean {
   ...
}