Majid Alam, 45, from New Delhi, was getting into a private car owned by his business partner Ahsan Habib outside his hotel when three armed youths approached him at around 11:00am, a witness said.

Sensing an attack, Majid tried to run but fell on the pavement, the witness added.

The gang shot him several times from close range and fled the scene in a CNG-run autorickshaw which was waiting some 100 feet away from the spot.

His local partners Habib, Amzad, Amir and Arpan were waiting inside the vehicle. The car usually waits for him inside the hotel but it was parked outside the hotel yesterday.

Amzad rushed Majid to Dhaka Medical College and Hospital (DMCH) where doctors declared him dead at 12:15pm.

Majid, whose right leg was short, received four bullets in the forehead, ribs and stomach, DMCH sources said.

Police recovered seven bullet shells from the spot and took possession of Majid's passport, luggage and documents from the hotel.

Gulshan police arrested six men in this connection. They are Barkat Ali, the manager of the hotel, Humayun Kabir, the driver of the car, and his four business partners.

Habib was arrested from the dining room of the hotel where he hid himself after the shooting.

Police are looking for Joynal and Ilias, local agents for Majid. Investigation Officer (IO) Golam Rahman of Gulshan Police Station said the police had been raiding different spots to nab the killers and local agents of Majid. The evidences indicate it was a premeditated murder, the IO added.

Deputy Commissioner (DC) Shahidul Islam of Detective Branch (DB) told the press that Majid might have been killed due to a feud over money with his partners or rival groups.

Meanwhile, sources said local extortionists demanded toll from Majid last year when he visited the country and threatened to kill him.

Majid of MN industries came to Dhaka on August 27 and stayed at the Heritage Inn Guesthouse in Banani. He tried to change his hotel but the hoteliers negotiated with the local goons and assured Majid of his security.

Majid stayed at the Heritage Inn Guesthouse during his last three visits to Dhaka, hotel sources said.

Majid had made a one-lakh metric ton rice bid on August 22 at Disaster Management and Relief Ministry in response to an international tender called by the ministry. He had left Dhaka on August 22 only to return on August 27.