Otago Daily Times understands the man allegedly said the joke when a staff member asked if he had any bags to check-in, and he allegedly pointed to the bags and said it was the ones that had bombs in it.
Duty Lawyer David Slater said the man was blacklisted from Air New Zealand and banned from the Invercargill Airport.
Dempsey drove from Napier to Invercargill to bring a car and was checking in for a flight back to his hometown when the incident happened.
However, since he has been blacklisted, Dempsey would need to drive for days to return to home, he said.
Judge Michael Turner remanded the man without a plea and prohibited him to enter or drive within 1km from Invercargill Airport.
His next appearance was scheduled for February.