The Blues are furious that Hughes openly spoke about his pursuit
of the England skipper - even spelling out why Terry should sign on
at Eastlands.
JT, who will be offered a new £150,000-a- week deal to convince
him to stay at Stamford Bridge, has been the subject of two City
bids.
Chelsea say Terry will snub City's advances and confirm his
future is at Stamford Bridge very shortly. But the Blues are still
considering reporting the Eastlands club.
A source said: "The way Hughes has openly talked about wanting
Terry to sign for him is totally out of order.
"Other teams have been punished for a lot less - so Hughes could
find himself in a lot of trouble."
While Chelsea chiefs appear confident their captain will
stay, Terry is still torn between staying and joining Mark
Hughes.
It is understood that the defender is not interested in the
money but is far more concerned by the direction the club are
taking.
Chelsea have failed to capture a number of big-name signings
this summer - including Spanish hitman David Villa and French
midfielder Franck Ribery - and only this week pulled out of a deal
for Arsenal strike star Emmanuel Adebayor.
Terry earns £125,000 a week - around £10,000 less than England
team-mate Frank Lampard - but will become the club's top earner if
he decides to accept the package.