The matter is being investigated by police.

Mr Franklin issued a brief statement today: "I am withdrawing as a candidate for the upcoming Council election due to credible threats, that I believe will be carried out, if I continue. The police are treating this matter seriously and are investigating."

Mr Franklin decided to run for council after a dispute with the council about a block of land he bought in Moss Vale in 2010. After the purchase it was "discovered" the block  had a sewer pipe running under it, preventing a home from being built at that location.

He has said that council documents obtained at the time of purchase did not mention the sewer pipe.

The council has consistently denied any liability in relation to the matter, arguing that Mr Franklin did not do the correct title searches.

Mr Franklin claimed, on July 17, that the council was trying to impose a “political gag” on him over a dispute with a sewer pipe on his land. The council firmly denied this, saying it was normal practice to sign a confidentiality clause in a Deed of Release.

The Southern Highland News published an article stating as much on its website on Wednesday, July 18, and in print on Friday, July 20.

The Southern Highland News was informed late on Thursday, July 19, that Mr Franklin would sign the Deed of Release on Friday, July 20.

It was believed that, as a result of the article in which Mr Franklin claimed he was “gagged”, the council had given a deadline of the following Monday to sign or it would withdraw its offer to move the pipe.

A joint media release between Mr Franklin and the council about the Deed of Release was expected to be released within the next week.