A Madhya Pradesh resident was arrested from popular sweet-water lake in beach village of Arambol in North Goa for possession of hashish worth Rs 60,000, police said on Friday.

Rajesh Bansal, 31, from Sidhi district in Madhya Pradesh has been arrested and booked under relevant sections of the Narcotics Drugs and Psychotropic Substances Act, police inspector in-charge of the Pernem police station Jivba Dalvi said.

According to the police, Bansal was residing at a local guest house and was allegedly dealing in drugs.

The sweet-water lake adjoining Arambol beach is a well known tourist site, popular with domestic and international tourists.