diff --git a/Content.Shared/Hands/EntitySystems/SharedHandsSystem.Pickup.cs b/Content.Shared/Hands/EntitySystems/SharedHandsSystem.Pickup.cs
index 7bc0a8025f..101d206acd 100644
--- a/Content.Shared/Hands/EntitySystems/SharedHandsSystem.Pickup.cs
+++ b/Content.Shared/Hands/EntitySystems/SharedHandsSystem.Pickup.cs
@@ -197,12 +197,14 @@ public abstract partial class SharedHandsSystem : EntitySystem
     /// <summary>
     ///     Puts an item into any hand, preferring the active hand, or puts it on the floor.
     /// </summary>
+    /// <param name="dropNear">If true, the item will be dropped near the owner of the hand if possible.</param>
     public void PickupOrDrop(
         EntityUid? uid,
         EntityUid entity,
         bool checkActionBlocker = true,
         bool animateUser = false,
         bool animate = true,
+        bool dropNear = false,
         HandsComponent? handsComp = null,
         ItemComponent? item = null)
     {
@@ -214,6 +216,11 @@ public abstract partial class SharedHandsSystem : EntitySystem
             // TODO make this check upwards for any container, and parent to that.
             // Currently this just checks the direct parent, so items can still teleport through containers.
             ContainerSystem.AttachParentToContainerOrGrid((entity, Transform(entity)));
+
+            if (dropNear && uid.HasValue)
+            {
+                TransformSystem.PlaceNextTo(entity, uid.Value);
+            }
         }
     }
 
diff --git a/Content.Shared/Radio/EntitySystems/EncryptionKeySystem.cs b/Content.Shared/Radio/EntitySystems/EncryptionKeySystem.cs
index 94d839a420..9ddcb423b4 100644
--- a/Content.Shared/Radio/EntitySystems/EncryptionKeySystem.cs
+++ b/Content.Shared/Radio/EntitySystems/EncryptionKeySystem.cs
@@ -55,7 +55,7 @@ public sealed partial class EncryptionKeySystem : EntitySystem
         _container.EmptyContainer(component.KeyContainer, reparent: false);
         foreach (var ent in contained)
         {
-            _hands.PickupOrDrop(args.User, ent);
+            _hands.PickupOrDrop(args.User, ent, dropNear: true);
         }
 
         if (!_timing.IsFirstTimePredicted)