TXU: A&O's Chinese wall protocol stalled by own client

Allen & Overy’s (A&O) attempts to get the Commercial Court to rubber-stamp its decision to act for a number of competing creditors on the TXU Europe administration have been scuppered by one of its own clients.
A&O is acting for TXU joint administrator KPMG, TXU’s banks, TXU power company creditor Barking and the bankers for energy creditor AES Drax.
A Commercial Court hearing was planned for 18 March, where A&O planned to ask the court to approve a protocol outlining the Chinese walls it had put in place to stop sensitive information flowing between all the creditors it is acting for.
But at the last minute, Barking, along with AES Drax and another energy creditor International Power, rejected the protocol and forced the hearing to be adjourned.
The hearing has been set for next Friday (28 March). A&O is understood to have asked for the hearing to be held in private even though Ernst & Young, the other joint administrator of TXU Europe, wants it to be public.