Former News of the World editor Andy Coulson is to sue his former employer News Group Newspapers for breaking an agreement to pay his legal fees, it has been reported.
Coulson quit as David Cameron's director of communications amid sustained media pressure over his connection to the phone hacking scandal.
He was arrested in July in connection with allegations of corruption and phone hacking and is now out on bail.
According to Sky News papers have been laid at the High Court "regarding the termination of the payment for his legal action."
He resigned as editor of the NotW in 2007 over allegations that the tabloid had hacked phones to obtain stories. He has always denied he had any knowledge of hacking at the time.
News Group Newspapers is a subsidiary of News International and publishes The Sun newspaper. NGN also published the News of the World (NotW) before it was axed.
On Friday it emerged that Mark Lewis, the lawyer who represented victims of phone hacking, including the family of Milly Dowler, is set to launch legal action in the United States against Rupert Murdoch's News Corporation.