The victim has been identified as Irfan. He had a grocery shop on Kathera Road, police said.
His body with bullet wounds was found today morning, they said.
As the news of the murder spread, hundreds of traders assembled at GT Road and blocked the traffic.
They claimed Irfan was murdered over extortion and said several traders had been killed in the past too for refusing to pay extortion money.
They called off the protest only after Deputy Superintendent of Police Anuj Chaudhary reached the spot and promised to arrest the assailants soon.
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