A young woman accused of kidnapping a newborn baby is suffering from "delusional thinking", her lawyer says.
An 18-year-old and 21-year old are facing burglary and kidnapping charges after allegedly taking the baby girl from an Epsom home.
The 11-day-old baby was found safe and sound by police after the six-hour ordeal on Wednesday morning.
Family of the two women accused packed the Auckland District Court on Thursday in the pair's first appearance.
Communities Magistrate Jan Holmes granted both of the accused name suppression and granted the younger offender bail.
The 21-year-old was also granted bail, however her defence lawyer says she's "extremely unwell" and needs treatment. He says she was assessed this morning at Waitakere Hospital by a psychiatrist.
She's been remanded on bail to Waiatarau Acute Unit at Waitakere Hospital until her next court appearance in three weeks.
The judge has also ordered a report around her fitness to plead.
She says the 21-year-old accused will be in an intensive care, high-security unit under 24-hour curfew.
The court heard how the 18-year-old has been living in Australia for the last eight months and was on holiday in New Zealand when the alleged offending happened. Her passport has been confiscated.
Her defence lawyer Annabel Cresswell says the co-accused is the primary offender. Ms Cresswell says her client also has no previous convictions.
She's been bailed to a South Auckland address until her next court appearance on August 31, when she will enter a plea.
The bail conditions include no contact with the co-accused, not to go within 2km of Pah Road, where the complainant lives, and also a strict curfew.
Communities Magistrate Jan Holmes says the alleged offending happened at night and a curfew is very appropriate.
The pair have been jointly charged with unlawfully taking the baby without consent and with the intent to cause the baby to be confined.
It carries a sentence of 14 years in prison.
Both women have also been charged with breaking and entering, which carries a maximum penalty of 10 years.
Detective Inspector Scott Beard said in a statement yesterday police received a call from the baby girl's parents at around 7am.
He says they launched an investigation and found her safe and well around six hours later.
"The baby's parents are obviously very distraught and have been through a terrible ordeal and they are currently with their baby," Insp Beard said.
"This has been an extremely harrowing time for the new parents of a very young baby. We are relieved and thankful that the baby was not harmed and has been reunited with her parents."
He says police aren't looking for anyone else in relation to the kidnapping, and enquiries are ongoing.