A man wearing a “Friday 13th”-style mask and brandishing a meat cleaver chased people around a seaside resort, police have said.
It happened in the Fore Street area of Newquay, Cornwall, at about 04:40 BST.
Devon and Cornwall Police said they received a “number of calls” from terrified members of the public who had been threatened.
Officers arrested a man at about 05:10 BST and he remains in police custody. No one was injured in the incident.