  We present new X-ray and optical spectroscopy of a Type 2 quasar candidate
selected from a follow-up program of hard, optically-dim, serendipitous Chandra
sources. The source is confirmed to be a Type 2 quasar at z=0.536 with an
intrinsic 2-10 keV luminosity L_{2-10}=5x10^{44} h_{0.7}^{-2} erg/s, an
absorbing column density N_H=8x10^{23} cm^{-2} and a neutral Fe K alpha line
detected by XMM-Newton EPIC-MOS1 as well as Chandra ACIS-S. An extended optical
forbidden emission line cloud is detected at the same redshift, and at about 15
kpc in projected separation. This cloud lies in close proximity to the peak of
the compact steep spectrum radio source 4C+39.29, which has previously been
identified with a foreground galaxy in the cluster Abell 963. We present
evidence to show that 4C+39.29 is associated with the background X-ray Type 2
quasar. The radio luminosity is dominated by lobes with complex structure and
the radio core is weak in comparison to narrow-line radio galaxies at the same
X-ray luminosity. The morphology and emission line properties of the extended
region are consistent with an on-going jet-cloud interaction. 4C+39.29
possesses a combination of high power and high absorbing column density
compared with other X-ray Type 2 quasars in the literature. These observations
highlight the efficacy of using X-rays to identify the primary energy source of
complex radio sources and distant obscured AGN.
