MATTHEW Arcus was caught in the toilets at Utopia nightclub handing over a bag of amphetamine to another man, a court was told.

Blackburn magistrates heard that when he was later searched, Arcus was also found to have four ecstasy tablets which he admitted to police were for him and his three friends.

Arcus, 27, of Duchess Street, Blackburn, pleaded guilty to supplying amphetamine, possession of amphetamine, possession of ecstasy and possession of ecstasy with intent to supply.

He was remanded on bail until August 11 for the preparation of pre sentence reports with a warning that the magistrates were considering a custodial sentence.

David Hartley, prosecuting, said the ecstasy tablets were found in Arcus' underpants when he was searched at the police station. When interviewed Arcus said the drugs were for him and his friends and denied there was any commercial basis to the possession. His home was searched and more amphetamine powder was found.

Jane Potter, defending, said there was nothing to suggest her client was involved in commercial supply of drugs. She said the four men had clubbed together to buy the drugs and Arcus just happened to be the one who was carrying them.

She said money seized by the police had been returned to Arcus, something that would not have happened if the police had any suspicion that he was involved in commercial supply.