Russell McMahon, 54, has been in custody for more than two weeks after he allegedly told a support worker he had a plan against police “the whole country would notice”.

He allegedly compared his idea to the Russell Street bombing, saying “$5 of fuel could do a lot of damage to police”.

McMahon appeared in Wangaratta Magistrates Court this week where solicitor Nancy Battiato argued her client should be released back to his Maxwell Street home. The house was where more threats were allegedly made, as police negotiated with him over the phone for hours before his arrest.

“With some stringent bail conditions, the police concerns with my client would be ameliorated,” she said.

But police prosecutor Acting Sergeant Heath Dosser said Ms Battiato’s suggestion that McMahon report daily to Wangaratta Police Station “would not be a good idea” in this case.

Magistrate Peter Mithen said it was unacceptable to even contemplate releasing McMahon from custody because the threats were too serious.

“If he was released, there’s a possibility these threats would be carried out or at least attempt to be carried out and he’d be a danger to the community,” he said.

Senior Constable Matthew Finger told the court McMahon came to police attention on January 1 when he allegedly armed himself with a knife to help a friend in a dispute and damaged another person’s car.

He verbally abused officers when they arrived then became aggressive, but capsicum spray had minimal effect.

McMahon has now been charged with possessing a prohibited weapon and the theft of a police baton – he initially claimed to have no knowledge of the baton, but finally handed it over when police knocked on his door with a search warrant.

The case was adjourned until February 5.