District administration officials said the landslide occurred at 'So-Bhir' cliff at Dzongu and blocked Kanaka river, a small tributary of the Teesta.
The artificial lake estimated to be 150 ft wide has been created which could burst any moment releasing huge volume of water into the Teesta suddenly causing a major problem for the people of living Dikchu, Makha, Singtam, Rangpo and some areas of north Bengal.
A high alert has been sounded and a disaster rescue task force has started evacuating people from Mantam, the most affected village, to safer places.
The administration opened two temporary relief camps have been opened at Tingvon, the officials said.
The police have been advising people about do's and don'ts thorugh public address system in the landslide hit area.
NDRF teams have also been sent to the landslide affected areas, the officials said.
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