diff --git a/python/deptry/core.py b/python/deptry/core.py
index 74080e0a..cd39de5b 100644
--- a/python/deptry/core.py
+++ b/python/deptry/core.py
@@ -121,7 +121,7 @@ def _is_local_module(path: Path) -> bool:
         """Guess if a module is a local Python module."""
         return bool(
             (path.is_file() and path.name != "__init__.py" and path.suffix == ".py")
-            or (path.is_dir() and list(path.rglob("*.py")))
+            or (path.is_dir() and list(path.glob("*.py")))
         )
 
     @staticmethod
diff --git a/tests/data/project_using_namespace/.gitignore b/tests/data/project_using_namespace/.gitignore
deleted file mode 100644
index 796b96d1..00000000
--- a/tests/data/project_using_namespace/.gitignore
+++ /dev/null
@@ -1 +0,0 @@
-/build
diff --git a/tests/data/project_using_namespace/foo/api/http.py b/tests/data/project_using_namespace/foo/api/http.py
deleted file mode 100644
index e69de29b..00000000
diff --git a/tests/data/project_using_namespace/foo/database/bar.py b/tests/data/project_using_namespace/foo/database/bar.py
deleted file mode 100644
index bbd15a79..00000000
--- a/tests/data/project_using_namespace/foo/database/bar.py
+++ /dev/null
@@ -1,7 +0,0 @@
-from os import chdir, walk
-from pathlib import Path
-
-import black
-import white as w
-
-from foo import api
diff --git a/tests/data/project_using_namespace/pyproject.toml b/tests/data/project_using_namespace/pyproject.toml
deleted file mode 100644
index 51f0a727..00000000
--- a/tests/data/project_using_namespace/pyproject.toml
+++ /dev/null
@@ -1,17 +0,0 @@
-[project]
-# PEP 621 project metadata
-# See https://www.python.org/dev/peps/pep-0621/
-name = "foo"
-version = "1.2.3"
-requires-python = ">=3.7"
-dependencies = ["toml"]
-
-[project.optional-dependencies]
-dev = ["black==22.10.0"]
-
-[build-system]
-requires = ["setuptools>=61.0.0"]
-build-backend = "setuptools.build_meta"
-
-[tool.deptry]
-pep621_dev_dependency_groups = ["dev"]
diff --git a/tests/functional/cli/test_cli_namespace.py b/tests/functional/cli/test_cli_namespace.py
deleted file mode 100644
index afb73885..00000000
--- a/tests/functional/cli/test_cli_namespace.py
+++ /dev/null
@@ -1,39 +0,0 @@
-from __future__ import annotations
-
-import uuid
-from pathlib import Path
-from typing import TYPE_CHECKING
-
-import pytest
-
-from tests.functional.utils import Project
-from tests.utils import get_issues_report
-
-if TYPE_CHECKING:
-    from tests.utils import PipVenvFactory
-
-
-@pytest.mark.xdist_group(name=Project.NAMESPACE)
-def test_cli_with_namespace(pip_venv_factory: PipVenvFactory) -> None:
-    with pip_venv_factory(Project.NAMESPACE) as virtual_env:
-        issue_report = f"{uuid.uuid4()}.json"
-        result = virtual_env.run(f"deptry . -o {issue_report}")
-
-        assert result.returncode == 1
-        assert get_issues_report(Path(issue_report)) == [
-            {
-                "error": {"code": "DEP004", "message": "'black' imported but declared as a dev dependency"},
-                "module": "black",
-                "location": {"file": str(Path("foo/database/bar.py")), "line": 4, "column": 8},
-            },
-            {
-                "error": {"code": "DEP001", "message": "'white' imported but missing from the dependency definitions"},
-                "module": "white",
-                "location": {"file": str(Path("foo/database/bar.py")), "line": 5, "column": 8},
-            },
-            {
-                "error": {"code": "DEP002", "message": "'toml' defined as a dependency but not used in the codebase"},
-                "module": "toml",
-                "location": {"file": str(Path("pyproject.toml")), "line": None, "column": None},
-            },
-        ]
diff --git a/tests/functional/utils.py b/tests/functional/utils.py
index cee3fd29..08853829 100644
--- a/tests/functional/utils.py
+++ b/tests/functional/utils.py
@@ -11,7 +11,6 @@ class Project(str, Enum):
     FUTURE_DEPRECATED_OBSOLETE_ARGUMENT = "project_with_future_deprecated_obsolete_argument"
     GITIGNORE = "project_with_gitignore"
     MULTIPLE_SOURCE_DIRECTORIES = "project_with_multiple_source_directories"
-    NAMESPACE = "project_using_namespace"
     PDM = "project_with_pdm"
     POETRY = "project_with_poetry"
     PYPROJECT_DIFFERENT_DIRECTORY = "project_with_pyproject_different_directory"