The five-member gang shot dead Khokan, 35, on Daudkandi Road when he was passing Rani Mahal Cinema hall area at around 6:30pm.

Soon after the incident, locals held Asaduzzaman Rubel, 25, and an unidentified youth of about 30 and pounded them, police said.

The unidentified youth died on the spot while Rubel, who claimed himself as the owner of a phone-fax shop at Barabhanga in Demra, is undergoing treatment at Dhaka Medical College Hospital.

The furious crowd also pelted brickbats on police when they reached the spot and tried to rescue the pair from public wrath. Police used batons to disperse the mob, witnesses said.

Rubel said he was talking with his four friends behind the cinema hall adding, "Suddenly my friends Jasim and Munna whipped out their pistols and started firing on Khokan when he was passing the area."

The officer-in-charge of Demra Police Station said Khokan, an accused in a murder case, used to extort tolls from the buses on Dhaka-Daudkandi route.