A 16-year-old was found not guilty yesterday of having £5,500 crack cocaine to sell.

The youth, from Middlesbrough, was cleared by a jury at Teesside Crown Court of being in possession of crack cocaine with intent to supply, when police raided a house in the town.

He had denied the charge, but admitted having 15 wraps of cannabis resin with intent to supply, on July 7 last year.

Police officers had told the court that when he was asked to put his hands on his head in the utility room of the house, an envelope containing the cocaine fell to the ground, between his feet.

The youth told the jury that he had been in a house in the town when he saw it was about to be raided by police.

He said he ran to the back of the house when he saw officers kick open a side gate and come towards him.

He denied ever having seen the envelope or being in possession of it.

He told the court: "The first I saw of it was when it was in an evidence bag in the living room of the house."

Judge Michael Taylor deferred sentence on the cannabis offence for pre-sentence reports.