A second man has been arrested on suspicion of conspiracy to murder following the discovery of a body in a wheelie bin.
Victim Craig Eade, 23, was discovered in a back lane in Northbourne Street, Gateshead, on 1 March.
The killing is believed to have happened between 26 and 28 February.
Paul Watkins, the first man arrested, appeared before magistrates sitting at Newcastle Crown Court earlier, charged with murder.
Mr Watkins, 36, of Northbourne Street, was remanded in custody and is due to enter a plea later this month.
He has also been charged with separate offences of burglary, fraud and theft.