Shiromani Akali Dal (SAD) leader Mukhjit Singh Verka has been shot dead in an alleged police encounter in Amritsar's Mundhal village.
The agitated supporters and SAD workers protested after the incident and did not allow the police to remove the body and car from the spot.
The protestors also blocked the highway during the agitation.
Deputy Commissioner of Police, Parampal Singh, denied the allegations that the victim was killed in an encounter due to mistaken identity.
Singh said that the police personnel fired at Verka in retaliation when he allegedly took out his pistol at started firing at them.
"Police did not attack or carry out an encounter. The police personnel were doing their routine work. Even police personnel have been injured. Now the whole incident is being presented by protesters as if we attacked the victim. There is also no case of mistaken identity. When police tried to stop his car, which was without a registration number plate, he took out a pistol and started firing at police. What else could police have done? We had to take action," Singh said.
The Deputy Commissioner of Police further said that an investigation team has been constituted to further probe the incident.
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According to the police, a constable named Rajesh Kumar was injured in the incident.
The SAD leaders have demanded that a case of homicide be registered and those responsible for killing Verka be arrested at the earliest.