Michigan jailbird in possession of drug (5)

I believe the answer is:

ganja

I'm a little stuck... Click here to teach me more about this clue!

'possession of drug' is the definition.
'ganja' can be an answer for 'drug' (ganja is a kind of drug). I am not sure about the 'possession of' bit.

'michigan jailbird in' is the wordplay.
'in' indicates the answer is hidden within the clue.
'GANJA' can be found hidden inside 'michigan jailbird'.

Can you help me to learn more?

(Other definitions for ganja that I've seen before include "Strong pot" , "blow" , "Potent type of cannabis" , "Marijuana" , "Strong cannabis" .)

I've seen this clue in The Guardian.

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