TNT Explosions cause item drops in minecraft server 1.7.4 CREATIVE mode

TNT explosions cause the affected blocks to drop items, ex exploded dirt blocks drop the collectable item. This happens in creative mode with difficulty set to peaceful, playing on a server on a local network through port 25565 and no mods on the server or playing machine.

To reproduce this place one or more TNT on any block type then detonate with flint and steel In CREATIVE mode.