The incident occurred when a group of people reached at Telaipahari to offer obeisance during Tusu festival, which was allegedly opposed by the rival group leading to clashes, police sources said.
Police resorted to mild force to disperse the frenzied mob who had indulged in ransacking and rioting in Haldipokhar market.
Two makeshift road-side shops were set afire by the mob, said Deputy Superintendent of Police (Musaboni), Ajit Kumar Vimal.
Vimal said the incident was the outcome of personal enmity between two groups over a place of worship even though the issue had been amicably settled recently.
Senior police officials including the Senior Superintendent of Police Anoop T Mathew rushed to the spot to take stock of the situation.