Gordon Dadds and Schillings are advising as The Telegraph newspaper has been prevented from revealing the identity of a leading businessman accused of allegations of sexual harrassment and racial abuse of staff, according to the newspaper.

The businessman has been granted an injunction against The Telegraph to prevent the newspaper from publishing a story about the allegations.

Schillings has taken the lead for the anonymous businessman, while Gordon Dadds is representing The Telegraph.

The injunction was granted against The Telegraph yesterday (23 October). According to the interim order, in five instances "substantial payments" were made to five people as part of "settlement agreements" or non-disclosure agreements (NDAs) relating to allegations against the businessman, known as 'ABC' in the order.

In an article on the case, The Telegraph said: "Unlike his alleged victims, The Telegraph has not signed any kind of NDA with the businessman. It has argued there is a clear public interest in publishing the claims, not least to alert those who might be applying to work for him. However, the Court of Appeal has, so far, ruled against this newspaper which, like the alleged victims, now finds itself gagged."

The case comes as the use of NDAs faces intense criticism. Earlier this year, the Solicitors Regulation Authority (SRA) warned law firms in England and Wales not to use NDAs to prevent the reporting of professional misconduct, in the wake of several sexual harassment scandals that have rocked the profession.

A confidentiality agreement relating to a historic incident of sexual assault at Baker McKenzie prevented Legal Week and other publications from reporting the identity of the perpetrator earlier this year. The associate received a payout from Bakers and entered into a confidentiality agreement, designed to protect her identity, before leaving the firm.

Earlier this month Bakers released its findings from a joint investigation with Simmons & Simmons into its handling of a the incident, which centred around the sexual assault of a female associate by a male partner six years ago.

Allen & Overy was criticised for the NDA it drew up for the settlement between disgraced movie producer Harvey Weinstein and his former assistant Zelda Perkins. Employment partners described it as being "perilously close to unenforceable" and containing "extraordinary" provisions.

This summer, the Women and Equalities Committee published a report calling for lawyers who misuse non-disclosure agreements to silence sexual harassment victims to face "serious sanctions".

Gordon Dadds declined to comment. Schillings was contacted for comment.