A 29-year-old trader from Dhanbad was found dead with a bullet wound in the head in the room of a Lindsay Street guesthouse where he had checked in on Wednesday.

Police suspect Dipak Singhania had committed suicide.

A 9mm pistol has been recovered from the toilet of the room in Gujral Guesthouse, off Treasure Island, where Singhania had checked in with another youth, Vikas Agarwal.

Police have learnt from the guesthouse management that Agarwal returned on Thursday evening and found the room locked from inside. In the presence of guesthouse officials, he entered the room after breaking open the sliding window and found Singhania’s body in the bathroom.

Agarwal fled before the police could reach the spot around 5.30pm.

“It seems to be a case of suicide. We have seized a 9mm pistol which would be sent for a forensic examination,” said an officer of New Market police station.

A preliminary probe has revealed that Singhania, from Nayabazar in Dhanbad, was a contractor in the colliery belt and had taken a huge loan.

“Calling up the numbers found in the victim’s cell phone we have come to know that he owed over Rs 70-80 lakh to several moneylenders. His family in Dhanbad has confirmed this. It seems Singhania was unable to repay the loan and was hiding from the lenders,” said an officer.

The police have also found empty liquor bottles in the air-conditioned room of the guesthouse. “The businessman had stayed in the guesthouse earlier, too. His family said he was very depressed. We will interrogate the trader’s friend who had fled the spot,” added the officer.