Six others accompanying Mayor Ram Chakrabarty also suffered injuries when a truck rammed into their stationary car near Jaleswar town.
The car had developed a snag on the way to Puri and was parked by the road side and the victims were inside it at the time of the crash, the leaders said.
The truck fled from the spot and the local people took the injured to Jaleswar hospital where one of them was declared dead.
The injured included the mayor's wife, brother and two other members of his family besides the driver.
Partha Dutta, a member, Mayor-in-council the municipal corporation, has proceeded to Jaleswar.
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