Heroin with a street value of £400 was found when police searched a car belonging to a father of two, Didcot Magistrates Court heard.
The court was told plain clothes police approached Darren Presley as he sat in his Vauxhall Cavalier in Kibble Close, Didcot.
Helen Waite, prosecuting, on July 30, said the officers uncovered a small package. Drugs paraphernalia was also found at a nearby address, occupied by a known associate of Presley.
Miss Waite said a police search of Presley's home in Hamble Road, uncovered no drugs but found receipts for considerable purchases of goods including one for £4,700.
Presley, 36, unemployed, who had a string of previous convictions including drug offences, admitted possessing 3.99g of a class A controlled drug. He was fined £350 and ordered to pay £118 costs.
The Crown Prosecution Service offered no evidence on a charge of possessing the heroin with intent to supply and it was withdrawn.
Alistair Grainger, defending, said Presley had experienced a drugs problem since breaking up with his girlfriend, but was now attending a rehabilitation project.
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