I think your problem could be that you are including the XTS code in your war: WEB-INF/lib/jbossxts-api-4.16.4.Final.jar
You should remove this and then add a dependencies entry to the MANIFEST.MF file. See here for what it should contain: https://github.com/jboss-jdf/jboss-as-quickstart/blob/jdf-2.1.2.Final/wsat-simple/src/test/java/org/jboss/as/quickstarts/wsat/simple/ClientTest.java#L51
Just added in the MANIFEST.MF file "Dependencies: org.jboss.xts,org.jboss.modules,org.jboss.msc,org.jboss.jts" entry. Tried running the application keeping the jbossxts-api jar in web-inf/lib and it started working. Thanks a lot for your help. Now I will start customizing and try to make 1PC working. Let us see how it goes.
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Great, I'm glad you've got it working.
You could create a discussion on the "Transactions Development Forum"  documenting how you are thinking about implementing your solution for 1PC. You could update the post, as your work through the solution. This is a good idea as it could help you clarify your thoughts and will probably be something that you can turn into a chapter of your thesis. Also, it will make it a lot easier for you to get feedback from the community. Take a look at , this is an example of how I used this approach during development of JTA 1.2.
Creating a discussion is a very good idea. This would help a lot and will make easier to get feedback from the community. I will definitely follow your advice.
Thanks & Regards,