I'm having the exact same problem as johnbull. I've run every free AV program I can get my hands on. I've also run Spybot and Ad-Aware, yet only trendmicro finds it, and my typical trendmicro run ends up with the same results as john's.
For the most part, I believe it is a false positive, yet for some reason I've been mysteriously k-lined from a server I very rarely join on plus the servers I idle on frequently, I tend to get nickserv killed and I get more software connection aborts. Before I noticed I had this malware.bkdr_ircflood.x on my computer, I hardly ever had any of these problems. Now they happen 1-2 times an hour.
I'm starting to get worried, because I have no clue where this trojan is at, if I do, in fact, have one. I hope someone finds an answer quick.