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A publican behind a sex show that was just "too sexy" has been granted bail while maintaining police are conspiring against him.

Michael Ian Foxman, 50, has been banned from leaving his 88-year-old mother's Bondi apartment alone while he facing allegations of intimidation and influencing witnesses.

Among his dozen charges, the hotelier is accused of issuing an online threat that caused Tamworth Courthouse to be closed and cleared, his Supreme Court bail hearing heard on Thursday.

Foxman's issues arose after his Imperial Hotel in Tamworth allegedly breached regulations concerning security guards, patron numbers and seating arrangements in 2019 and 2020.

A sex show hosted at the premises was viewed by police as "too sexy ... for a hotel in a country town", Justice Richard Button said.

But regulatory breaches allegedly grew into Foxman harassing people by phone, trying to have staff swear false affidavits and trying to intimidate people in the criminal justice system, the judge said.

"Mr Foxman believes he is the subject of a very grave conspiracy that the police at Tamworth are at the centre of and that some judicial officers might be part of it too," Justice Button said.

Foxman said he ran a very well-resourced company in Australia and had achieved great academic and business success overseas, particularly in the United States' Colorado.

The judge said it wasn't for him to decide if that were true, noting evidence calling Foxman's assertions into question.

But it was clear the publican had found jail extremely distressing and custody was hardly therapeutic for people suffering mental health issues.

"The problem is in the past he will not or cannot abide by what he is asked to do," Justice Button said, describing some conduct as "frightening".

"(He says) he's merely reacting to injustices he's suffered but others would say he has behaved very inappropriately."

The publican, who has no prior criminal record, agreed to see a psychiatrist immediately upon his release.

Among 15 other conditions, he's also to have no contact with any part of the criminal justice system, except through his lawyers or when in an emergency or reporting for bail.

Justice Button warned "a single call" forbidden by his bail conditions could result in his arrest.

"If things go badly, Mr Foxman will be returned to custody," he said.

Foxman is next due to face Tamworth Local Court on April 8 via video link over a charge that he threatened someone with intent to influence a public justice official.

Further hearings in May will deal with charges of being a licensee permitting indecency on a licensed premises, intimidation, acts with intent to influence witnesses, perverting the course of justice and other matters.