Water scarcity is one of the most critical issues of recent times. Nations across the globe are in the grip of water crisis. However, scarcity is not only being witnessed in the naturally water-scarce regions of the globe, but also in regions where this resource is available in plenty. This paper provides a descriptive analysis of water situation in the water-rich North-Eastern states of India. The analysis focuses on the concept of water poverty, rather than water scarcity, indicating that the former is a more comprehensive term. Water poverty assesses water situation in terms of factors like access to water, income of people, use of water and water quality. The analysis reveals that there exists a paradox in this region. This part of India may not be water scarce, but shows characteristics of water poverty.