Kothari's mortal remains, which were brought to Katangi police station in the district earlier in the day from Wardha in Maharashtra, were consigned to flames near here in evening after police submitted a written assurance of an impartial SIT probe.
His kin had earlier refused to perform his last rites while insisting that six more persons behind the murder be arrested.
Meanwhile, police produced Vishal Tandi and Brajesh Daharwal, the two accused arrested so far in connection with the case, in a local court which remanded them in police custody for seven days.
Police have also announced a reward of Rs 30,000 on another accused Rakesh Nasvani, who is absconding.
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State Home Minister Babulal Gaur told PTI that police are investigating into the killing of the scribe from all angles. "A hunt is on to arrest the one more accused who is absconding," he added.
Kothari was burnt to death allegedly by three persons, suspected to be closely linked to sand mafia, who set him ablaze apparently over his refusal to withdraw a court case, after abducting him from Katangi three days back, the police had said.
His body was found lying near a railway track at Sindhi town in Wardha district of Maharashtra on Saturday night.
Madhya Pradesh Working Journalists Union has demanded a CBI probe into the incident, with it's Balaghat district president Indrajeet Bhoj recalling the deceased as an "impartial and courageous" journalist.