The Georgetown-Waratah Labor Party branch has disputed claims by Nuatali Nelmes that she was not involved in discussions with the party's head office about branch stacking allegations.
A bombshell statement signed by the branch chairwoman Linda Barter and secretary Justin Davis on Tuesday claimed Ms Nelmes had been "untruthful" in recent media comments.
It adds further fuel to a bitter civil war within the Newcastle Labor Party that has been characterised by bullying allegations and public disunity.
Ms Nelmes, who was in a neck-and-neck race for the lord mayor's role with Ross Kerridge on Tuesday, told NBN News last week that she had "absolutely not" been in discussions with head office representatives about allegations of branch stacking within the Lambton-New Lambton-Kotara Branch.
They relate to a meeting of the branch, of which Ms Nelmes is a member, held at Dixon Park Beach in February this year.
Party records show 33 people tried to join the party after the meeting. Two were related to councillor Peta Winney-Baartz and the remainder had links to Ms Nelmes and her family through social media and sporting clubs.
The Georgetown-Waratah branch said Ms Nelmes's comments to NBN had been "untruthful", while Ms Nelmes said bullying by some party members had caused her significant harm.
"Having been relentlessly bullied by a small few in the Labor Party for too long. One of the silver-linings, if preferences don't go my way, I hope the bullying will end," Ms Nelmes told the Newcastle Herald on Tuesday.
The branch said it was aware that Ms Nelmes was present at a meeting of her branch, which was attended by assistant party secretaries Dave Dobson and George Simon on April 8.
It also claimed Ms Nelmes had been in attendance at the Georgetown-Waratah branch meeting a week later, which Mr Simon attended.
"On both occasions the subject of discussion was the membership freeze brought on by the recruitment of 33 people connected with the mayor and the Ward 3 councillor Peta Winney-Baartz," the statement said.
It was further claimed that Ms Nelmes had attended meetings with office holders from the NSW branch head office to discuss her relationship with Wallsend MP Sonia Hornery.
"Her claim that the head office has not been in touch with her concerning the recruitment of the 33 people to her branch is not truthful," the statement said.
Ms Nelmes told NBN that a six-month freeze on new memberships in the electorates of Newcastle and Wallsend has been the result of bullying by Dr Kerridge and Mr Davis.
The Georgetown-Waratah branch also challenged this claim by quoting a message from head office on April 6 which provided an alternative explanation: "The decision was prompted by a tripwire notice tabled with the Administrative Committee advising that over 30 members had joined a local branch in a single meeting"
It also denied the claim that Mr Davis had bullied Ms Nelmes. Dr Kerridge has also denied allegations that he was a bully.
"This branch has seen some spirited debate and discussion, but has never seen the secretary bully or attempt to bully the Mayor of Newcastle, Ms Nelmes," the statement said.
"This branch has decided it will not grant Ms Nelmes the right to speak at further branch meetings until she publicly apologises for spreading lies about the members of this branch."
Ms Nelmes told the Herald on Tuesday: "I do not attend those meetings as they are not safe and have caused me and my colleagues significant psychosocial harm."
Mr Simon did not respond to questions about the matter.