The deceased has been identified as Tukuna Chhatai of Bhatapada village.
Tukuna who worked as a contractor in Barida area and supplied labourer from the district to neighbouring Andhra Pradesh for past couple of months had sent the accused Radhakrushna Sahu (19) to an employer over there.
A dispute cropped up between Tukuna and Radhakrushna subsequently after the latter returned home with a pending due of Rs 2,000.
Today morning, getting information that Tukuna was visiting Govindpur to collect labourers, the accused intercepted him near Barida Jagannath temple and asked to clear his dues. After Tukuna declined to pay the dues and a verbal duel erupted between them, Radhakrushna took out a sharp weapon and brutally stabbed him.
Though the victim tried to escape from the spot, Radhkrushna overpowered him to gouge out his intestines demonstrating extreme brutality.
Getting intimation on the murder, Balichhai and Kabisuryanagar Police rushed to the spot and arrested the accused.
The body was later sent for autopsy.