Season the chicken pieces with salt and black pepper. Dredge the pieces with the flour to coat lightly.
In a large skillet or sauce pot, heat olive oil over medium-high heat. Add chicken pieces and sauté until the chicken has browned on each side, about 5 minutes per side. Remove and set aside on a plate.
Add onion, garlic, red pepper, and mushrooms to the pan. Sauté until tender, about 5 minutes.
Add the white wine, and simmer on a low boil until reduced to half. Add chicken broth, diced tomatoes, tomato paste, oregano, and basil.
Return the chicken pieces to the pan, and turn them to coat into the sauce. Set the temperature to a lower simmer. Allow the chicken to simmer for about 20-30 minutes, until tender. Add seasoning if necessary.
At this point, the sauce should have thickened, if not allow to boil for about a couple of minutes.
Garnish with chopped parsley or fresh basil. Serve with pasta, mashed or roasted potatoes.