Nancy Michaud's body was found in an abandoned house in Rivière-Ouelle, Que., near her own home. (CBC)Police said Sunday they have arrested a man in the death of an assistant to a prominent Quebec cabinet minister.

A thirty-something man is being questioned by investigators after the body of Nancy Michaud, 37, was found in an abandoned house on Sunday afternoon, Quebec provincial police spokesman Claude Ross said.

Michaud, who worked as an assistant to Natural Resources Minister Claude Béchard, was abducted from her home in Rivière-Ouelle, about 140 kilometres northeast of Quebec City, early Friday.

The detained man may face a murder charge, Ross said, adding police believe there is only one culprit.

Michaud's husband reported his wife missing after he came home at about 2:30 a.m. on Friday, investigators said. The couple's two children, ages six years and 18 months, were asleep in the home at the time.A police car sits in front of the house where Nancy Michaud's body was discovered. (Francis Vachon/Associated Press)

There were signs of violence at the home and police suspect Michaud was dragged out and forced into a car that was parked behind the house.

Police said they believe the man under arrest is the same masked person caught on camera withdrawing money from two bank accounts belonging to the couple at a nearby automated teller early Friday.

The visuals were released to the public on Saturday and played a major role in identifying the suspect, Ross said.

Police, acting on a tip, found Michaud's body Sunday afternoon in the basement of an abandoned home located a few kilometres from her own residence in Rivière-Ouelle.

'Completely devastated'

Shocked residents gathered near the abandoned home Sunday, trying to come to terms with Michaud's death.

Rivière-Ouelle Mayor Roger Richard said Michaud grew up in the tight-knit community and was a long-time volunteer whose death will leave a large hole.The person in this video footage, taken at a bank machine shortly after the abduction of Nancy Michaud, is suspected to have played a role in her death. (Quebec provincial police)

"We're completely devastated. We never thought something as dramatic as this could happen to us," Richard told a local television station Sunday.

"It was a death for a handful of dollars and we just don't understand it. We're still asking the questions about why this happened."

Quebec Premier Jean Charest issued a statement late Sunday, calling the death inexplicable and offering his condolences to the small Quebec town.

Béchard, who represents the region in Quebec's legislature, said his thoughts go out to Michaud's family, friends and relatives.

Béchard had earlier visited with the family, and he described Michaud as "a mother, a friend and an extremely devoted employee."

An autopsy will be performed, police said.

With files from the Canadian Press