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First, you smack him in the head for not being smart enough to conceal it... I doubt you want to involve the cops as a scare tactic, that could backfire on you. I would imagine it depends on the situation... has he ever been in trouble before? Is he a good kid that is just experimenting?
You obviously want to nip this one in the bud (pun intended), but how you approach it really depends on the kid and other factors that none of us know anything about.
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