The assailants shot at Prasad from close range killing him on the spot before making good their escape, the Deputy Superintendent of Police (DSP) Alok Kumar said.
The motive behind the murder of the Mukhiya was under investigation, he said adding that the body has been sent for post-mortem.
Prasad was the mukhiya of Bhavdev panchayat under Riga block, he said adding he was also a contractor and carrying out some construction works in Gudri bazar.