We present results for the Kondo effect in two crossed Luttinger liquids by using boundary conformal field theory. We predict two types of critical behaviors: either a two-channel Kondo fixed point with a nonuniversal Wilson ratio or a theory with an anomalous reponse that is identical to that found by Furusaki and Nagaosa for the Kondo effect in a single Luttinger liquid. Moreover, we discuss the relevance of perturbations like channel anisotropy in restoring a Fermi-liquid-like Kondo fixed point, and compare our results with the Kondo effect in a two-band Hubbard system modeled by a channel-dependent Luttinger Hamiltonian. The suppression of backscattering off the impurity produces a model similar to the four-channel Kondo theory. Consequences are discussed.