Some people were allegedly engaged in gambling this evening when some police personnel in civil dress reached the spot and chased them, police said.
Three of the youths jumped into a river to escape. Later, the bodies of two of them --Dinesh (18) and Satish (19)-- were recovered but the third person could not be traced, they said.
The villagers said that gambling on Diwali night was a custom, but the police was trying to extort money which led to the death of two people.
Upon receiving the information, a number of top police officers reached the spot to bring the situation under control.
Section 144 was imposed and Rapid Action Force was deployed in the area to prevent any further untowards incident, they said.
Deputy Inspector General R K S Rathore said that the situation was under control and investigation was underway.