Kishan Lal Jain, a scrap iron dealer shot dead in Bally, Howrah, on Tuesday afternoon, was a victim of business rivalry, police claimed on Wednesday.

Laltu Pal, allegedly a business rival of Jain, has been arrested in connection with the murder.

A preliminary probe has revealed that Pal had hired three “professional killers” to eliminate Jain.

“Pal seems to have masterminded the killing,” said Niraj Singh, superintendent of police (Howrah). “We are yet to ascertain the profiles of the hired killers and how they hatched the murder plan.”

Jain was shot from point-blank range at the intersection of Abhay Guha Road and Girish Ghosh Road, in the Bally police station area. He was riding a scooter on his way home from his scrap-iron godown in Ghusuri.

He was intercepted by the motorcycle-borne trio and was shot twice in the head and twice in the abdomen.

Police have come to know that Jain had been to Jamalpur three days ago and bagged a railway contract worth Rs 1 crore. “Our officers are trying to find out whether the contract had any role in the killing,” said Singh.

After examining the bullets found in Jain’s body, police said they could have been fired from an AK-series weapon. “We have sent the bullets for a forensic examination,” said an officer of Bally police station.

Investigators are also trying to find out whether Jain had any links with the underworld in Howrah.

“Jain was into the business of buying scrap iron from the railways. And we know that most of the crimelords in Howrah are on the payroll of businessmen like Jain,” said another officer.