Body of Sukhjinder, 18, was found floating in a canal near Galoti village. He had gone missing last Friday under mysterious circumstances, police said.
Protesters blocked the Moga-Amritsar highway, shut down shops and demanded registration of a case against Kotise Khan police station SHO Rashpal Singh, accusing him of handling the case improperly, they said.
Moga SSP Kamaljit Singh Dhillon met the family of deceased boy as well as the protesters, and later ordered suspension of the SHO, after which the family agreed for cremation of the youth and the protesters lifted the blockade.
The youth's family had lodged a complaint alleging that a woman in their neighbourhood, with whom they had had an argument over some issue, had threatened to kill them.
The woman has been taken into custody for interrogation, police said.