Bosses at Newcastle International Airport have launched legal action against former chief executive John Parkin, The Journal can reveal.
Papers - which are subject to a confidentiality agreement - have already been lodged with the Queen's Bench division of the High Court, it emerged yesterday.
The Journal yesterday made an application to obtain the details of the documents, arguing the matter was in the public interest, but a judge ruled that the matter would need a full hearing.
The startling move comes amid claims from a well-placed source that Mr Parkin had an ongoing relationship with a European company that has recently bought Leeds Bradford International Airport.
The source claimed that Mr Parkin was set to be "parachuted in as chief executive" of the West Yorkshire airport by private equity firm Bridgepoint Capital Ltd, who just two weeks ago spent £145.5m purchasing the airport from five local councils after they agreed to sell all their shares.
A Newcastle Airport spokesman last night confirmed that it understood that Mr Parkin had been "connected" with Bridgepoint, who also helped privatise Birmingham Airport two decades ago, for more than a year before his suspension.
The source also claimed issues had arisen over bonuses Mr Parkin had been paid last year in the wake of the successful re-financing of Newcastle International Airport.
Yesterday Mr Parkin refused to comment, instead referring us to his comment after resigning, which said: "I am confident that I have fulfilled all of my contractual obligations to Newcastle International Airport and that the inquiry will confirm this in due course."
The 52-year-old was suspended from his day-to-day duties in March, after an inquiry was launched into "certain personal contractual issues".
It was announced on Thursday that he had resigned from his role a week ago with immediate effect.
Last night, head of planning and corporate affairs, Graeme Mason said: "Newcastle International Airport can confirm that High Court proceedings were entered into, but we cannot provide any further detail due to the ongoing legal proceedings."
Mr Mason also spoke about Mr Parkin's relationship with Bridgepoint - who list Darlington MP and former health secretary Alan Milburn as a director.
He said: "We understand that John Parkin is connected with that organisation, but we are not able to comment further in view of the ongoing investigation.
"Any bonus payments, for whatever purpose, are a confidential matter between the company and the former director." Three months before Mr Parkin's suspension a major re-financing deal at the airport released £80m to the five Tyne and Wear authorities and two county councils which hold shares.
Mr Mason added: "The airport company fully understands the interest in this issue and we will provide information just as soon as legal proceedings will allow, but the reason we are providing such limited information at this stage is because we need to ensure that legal proceedings are not undermined."
When The Journal tried to obtain the High Court writ outlining the details of the case we were told it had been protected under a confidentiality agreement.
High Court officials said details of the case could only be outlined if Mr Parkin, Newcastle International Airport and Bridgepoint Capital agreed. When we tried to get the confidentiality lifted High Court judge Justice Michael Burton told us a full hearing would be necessary.
Last night, a Bridgepoint Capital spokesman insisted no decision had been taken on new management for Leeds Bradford Airport. Declining to comment on legal proceedings, he said: "We have taken no decision on what additional management we may need for Leeds Bradford. We cannot comment on any relationship with any individual."
Newcastle Airport is jointly owned by seven North-East councils, which between them have 51% of the shares, and Copenhagen Airports. South Tyneside Council, which acts as the "lead authority" would not comment on the legal proceedings.
