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Hartlepool Neighbourhood Teams executed a warrant at Joanna’s Fish Bar, on York Road in the town on Friday afternoon.
Officers recovered two large vacuum-packed bags of cannabis from inside of the premises.
Inspector Adrian Dack said: “Thanks to information received from those living in the area and from PCSO and officer engagement with the community, we were able to remove drugs ready for distribution across town.
“Drugs and associated antisocial behaviour cause misery for communities in Hartlepool. We will continue to do all that we can to target those who produce and supply them.
“Your knowledge and the information you provide is vital in this fight. If you think that people in your neighbourhood may be involved in the production of or supply of drugs, or have noticed suspicious activity, please call 101.
“Alternatively, you can report this via our website www.cleveland.police.uk, or report anonymously to the charity Crimestoppers on 0800 555 111.