Three men have been arrested in connection with what was feared to be an armed incident in east Hamilton.
No firearm was found, but reports that a group had a weapon led two schools to go into lockdown mode on Friday and caused traffic gridlock in that part of the city.
Police say the drama began when a vehicle was seen being driven around the city, apparently with a firearm inside it.
The car was found later and searched by officers supported by the Waikato Armed Offenders Squad. Police say it contained methamphetamine and drug paraphernalia.
Three men aged in their early 20s were arrested on drug-related charges.