The deceased was identified as Sanjay Jaiswal, a trader.
Late last night, Jaiswal was stabbed and beaten with iron rods near the Wazirganj police station, they said.
The wife of the deceased Ramawati has told police that her father-in-law was also killed in a similar manner about three year ago.
A case has been registered against unidentified persons and investigations are on, police added.