The body the girl, a student of Class II and a resident of Tanlapara was recovered from a park in Kejelpara area yesterday, the sources said.
The man, Pradeep Dalai, took the girl for a bicyle ride on Sunday evening after which the girl went missing, they said.
When the girl did not return home till 9:00 pm, members of the girl's family went to Dalai, a driver, to inquire about her at his house in Ram Mandir area.
When the man pleaded ignorance he was dragged to the police station by the girl's family members.
After recovery of the body, Pradeep confessed to having raped and murdered the girl, the sources said.
He was arrested and remanded to judicial custody, Sambalpur Superintendent of Police Nikhil Kanodia said.