Heat a large frying pan over medium high heat and add the oil to the pan. Season both sides of the chicken with salt and black pepper. Cook the chicken until is pale golden brown – about 3 min per side, then transfer the chicken to a medium bowl.
Reduce the heat to medium and add the mushrooms to the pan and sauté until they become tender and golden – about 5 min. Add the bell pepper and onion and sauté until they are tender – about 5 min. Add the garlic, thyme, bay leave, oregano and the red pepper flakes if you are using them. Sauté for a minute, then add the wine and simmer until is reduced by half, stirring to scrape up brown bits from the bottom of the pan. Add the tomatoes and their juices, chicken stock and olives and bring to a simmer, reducing the heat to medium-low.
Return the chicken and its accumulated juices to the pan, nestling the chicken into the sauce. Gently simmer uncovered until the tomatoes melt into the sauce and the sauce thickens slightly – about 40 min. Remove the thyme steams and bay leaf and stir in the parsley and basil.
Spoon the chicken and sauce onto the plates and if desired grate some parmesan on the top before serving.
