LAS VEGAS -- Federal agents seized five pounds of C-4 military explosives from the Colorado home of a man accused with a Navy SEAL and a Las Vegas associate of smuggling machine guns from Iraq into the U.S. for sale and shipment to Mexico, authorities said Thursday.

Grenades and night-vision goggles also were found in the Durango, Colo., home of 34-year-old Richard Paul, according to federal prosecutors and federal Bureau of Alcohol, Tobacco, Firearms and Explosives agents in Las Vegas and Colorado.

Paul and Andrew Kaufman, 36, of Las Vegas, were arrested Wednesday and appeared Thursday before federal magistrate judges in Durango and Las Vegas on conspiracy charges. Each was ordered held in federal custody pending an evidentiary hearing.

They are accused of conspiring with Navy SEAL Nicholas Bickle of San Diego to smuggle and sell weapons to an undercover federal agent in Nevada and Colorado.

"As long as they got paid ... they didn't care if the weapons wound up in Mexico or on the streets of Las Vegas," federal prosecutor Drew Smith told U.S. Magistrate Judge George Foley Jr. in Las Vegas.

Smith characterized Bickle, 33, as a "rogue Navy SEAL" - an active-duty special warfare operator 1st class who Smith said also worked as a consultant on the Hollywood movie "Transformers 3."

Bickle was arrested Wednesday and was due to appear Friday before a federal magistrate judge in San Diego.

Smith said outside court that federal agents expected to find weapons, but were surprised to find five pounds of C-4 plastic explosive, blasting cap detonators and other military items at Paul's home in Colorado.

Brad Briersdorf, a Colorado-based ATF spokesman, said there were no evacuations of the neighborhood while agents removed the military-grade explosive. C-4 is a stable compound that requires an initiator or a blasting cap to cause a blast.

Briersdorf declined to elaborate about the destructive power of the explosives found in Paul's home.

Smith said federal agents were still serving search warrants Thursday at Bickle's home, vehicle and a storage unit in the San Diego area.

"What we have here is simply greed at any cost," Smith told the judge in Las Vegas.