Continuity mistake: At the end when Frank brings a suitcase with a bomb on the plane where Bailey is pointing a gun at Sarah, he puts the suitcase on a table. When Frank drops his gun, the table is empty. The suitcase reappears a second later when Sarah goes to Frank.
Continuity mistake: When Sarah is trying to convince The Frog to help them, The Frog's glasses alternate between being worn and being in his hand from shot to shot.
Continuity mistake: When Han and his team land at Teterboro, N.J. you see part of the tail code G-MPSP on the port (left) wing when they walk away from it. After Frank and his people steal the same plane it is shown taking off, but no tail code can be seen on the port wing. (00:27:35 - 00:28:25)
Continuity mistake: Han is fully naked when he is scanned, he then gets some sort of kimono but just after that you can see that he is wearing underwear (can be seen when he is walking). (00:19:30 - 00:20:05)
Continuity mistake: In the scene at a "Russian" air base, the US troops, along with Anthony Hopkins, are surrounding and about to board a Russian made AN-12, NATO codename Cub, with US AIR FORCE painted on the side. When it subsequently takes off, the aircraft no longer has the lettering on the side and appears to be footage of an older unrelated AN-12 edited in.
Continuity mistake: While Frank is recovering from being drugged by Katya, Sarah goes on a spending spree, buying lots of new clothes and getting her hair styled. When they go to the bank and see Katya being taken away by police, Sarah's hair is back in its ponytail. The next scene is in England, where they meet up with Victoria, and Sarah's hair is stylish again.
Chosen answer: Insane in the sense that he wasn't completely mentally capable? Yes. Insane in that he wanted to blow them up? No. He was heavily medicated while in care and so his ramblings and confusion are supposed to be perceived as genuine. Once he starts commenting that he is beginning to remember his past, we then assume that he realizes what his original intentions were and somehow manages to contact the other agency.
But Bailey states before he kills Katja that he was responsible for leaking the post online that Marvin saw which started the whole thing. He said he took a guard's phone to do it. I believe he was very aware and was just "playing" everyone.