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Magnetic, dielectric properties and magnetoelectric effect of ceramics with a composition of 0.9 BaTiO3-0.1 LaMnO3 have been investigated. X-ray diffraction measurements showed that the sintered ceramics are composites containing a small amount of (La, Ba)MnO3 phase in the BaTiO3 matrix. These composites were multiferroic, having ferromagnetic and ferroelectric Curie temperatures of 330 K and 392 K respectively. We found that the composite sintered at 1150 °C exhibits a reduction of spontaneous magnetization as large as 55 % at room temperature when an electric field of 1.4 KV/mm is applied. This reduction is probably ascribed to a change of hole concentration distribution in the precipitated ferromagnetic (La, Ba)MnO3 and the resultant decrease of ferromagnetic Curie temperature.