A Belfast man allegedly pointed out the homes of migrant neighbours living on his street to be attacked with hammers, the High Court has heard.
Craig Watson is accused of being part of a masked crowd who targeted houses in the north of the city earlier this month.
But the 41-year-old claims he only identified his own home at Rathlin Street in a bid to ensure local loyalist paramilitaries left it alone.
Watson is charged with two counts of criminal damage and incitement to hatred over the racially-motivated incident on August 6.
He was refused bail.
The court heard up to eight men wearing balaclavas attacked two houses on Rathlin Street with hammers, causing extensive damage to front doors and windows.
A PSNI air support helicopter observed the incident and directed officers on the ground as they pursued suspects from the scene.
Prosecution counsel alleged that the footage showed Watson pointing out his neighbours believed to be foreign nationals.
“He was directing others towards the properties and pointing out the homes of what were perceived to be migrants,” she contended.
When police detained Watson he had a balaclava in his pocket, the court heard.
During interviews he claimed three members of the local UVF had approached and asked him if he knew where anyone from outside the area lived.
According to his account, he became scared, pointed towards his own house and asked the men not to break the windows.
He denied identifying the homes of any migrants, insisting that he gets on well with his neighbours.
“When asked why he had a balaclava he said he had been forced to take it by a local member of the UVF and that he was terrified of the UVF,” the prosecutor disclosed.
“But when he was asked why there was a UVF flag outside his house he said that was to commemorate the historical UVF (founded in 1912) and had no relevance to the UVF he was apparently terrified of.”
Defence barrister Luke Curran argued that Watson had only tried to ensure no damage was done to his own home.
“He is on very good terms with his neighbours… and indicates that he has been involved in cross-community work locally,” Mr Curran added.
Denying bail to Watson, Mr Justice Fowler highlighted the incitement to hatred charge he faces.
The judge held: “I am concerned there is a risk of further offences in this case.”