Suresh Tanti (42) was shot near a temple at Pachamma while he was going for work in the district court, Superintendent of Police Lalit Mohan Sharma said.
Tanti, who died on way to hospital, allegedly named one Md Masih Alam as his assailant in his dying statement.
Tanti's wife Manju Devi alleged that her husband had been killed as he refused to pay Rs five lakh as demanded by Alam. They even shifted from their earlier house in Bhagha village following threats by the accused.