The victim was identified as Amir Uddin, 45, of the village.
Quoting local people, police said there was an enmity between Maram Ali and Faruk Mia over the ownership of some money, collected from the local arbitration and leased water bodies in the area.
As a sequel to the enmity, an altercation ensued between the two groups when Maram Ali sought the details of the deposited money on Saturday evening.
Following Saturday’s altercation, the supporters of Maram Ali tried to besiege the house of Faruk Mia around 7 am in the morning.
At one stage, both groups equipped with lethal weapons attacked each other, triggering a clash.
During the clash, Faruk Mia opened fire on people by his gun, leaving Amir dead on the spot and 15 others injured.
Of the injured, ten people including Delwar and Rajon of Kapon village, suffered bullet injuries and were taken to Sylhet Osmani Medical College and Hospital.
On information, a team of police went to the spot and arrested Faruk Mia with his gun, said officer-in-charge of Dirai Police Station, KM Nazrul.
Additional police have been deployed in the area to avert further trouble.