Police say a Newtown man was arrested for making a pipe bomb in his home.

Prosecutors say what made the pipe bomb even more dangerous was that it was fully loaded in 68-year-old Larry Baily's driveway at the Newtown Village mobile home park. The trailers are just feet away from each other. Investigator say he not only put his wife's life at risk, but also his neighbors'.

Baily was arrested and arraigned on Friday. He pleaded to guilty to several charges, including illegal possession of explosives.

Police say the arrest stems from a March investigation.

"Several months back we had an incident where an individual said he discovered some explosives under his vehicle," says Newtown Police Chief James Viadero, adding that the individual was Baily.

Police say it's unclear why someone would allegedly make an illegal bomb and then tell police about the existence of it.

"There was some indication that he had some financial difficulties and he was using this as a front to support his claim that somebody was trying to force him into paying money to them," Viadero says.

He says Baily didn't intend on lighting it, but it was still dangerous.

Baily is being held on $75,000 bond and is due back in court in July.

Prosecutors say Baily has a criminal history that includes forgery and larceny.