Officers, who arrived at the Market Street Tavern just after 9pm, had been told a man there may have a gun and was "threatening everybody."
The owner had heard a loud bang and had seen the man making gun shapes with his fingers.
Burnley magistrates were told how police arrested Liam Hughes, who, said his solicitor, was " just drunk and mouthing off. "
The 30-year-old was handcuffed and taken into custody.
Prosecutor Miss Parveen Akhtar told the court: " When they search him there isn't any gun at all. There isn't anything of that nature. "
Mr Daniel Frazer, defending Hughes, said: "He tells me he doesn't drink an awful lot, but unfortunately when he drinks, he does drink to excess."
The solicitor said nobody seemed to be that concerned about the defendant and just dismissed him as drunken fool.
Mr Frazer said the defendant, who is on employment and support allowance, apologised for his behaviour and for any distress to members of the public. The solicitor added: "He cant take it back. He can only offer his apologies to the court and those affected by his behaviour."
Hughes, of Market Street, Colne, admitted being drunk and disorderly on Friday, September 21st. He was given a 12-month conditional discharge and must pay a £20 victim surcharge and £85 costs.
Sentencing, Bench chairman Mr Graham Jagger told the defendant the incident was not very pleasant for all the people around him.
He continued:"Hopefully, this is a one-off, rather than becoming the norm now."