Chaudhary, a liquor contractor from Fatehpur, is said to have handed over Dara Singh to the special operations group in Jaipur after which Singh was killed in an alleged fake encounter in October 2006.
Chaudhary was missing after the encounter and the CBI had announced a Rs 5 lakh reward for information about him. Police said he had been shot in his temple and suspect the killing took place on Wednesday night. Chaudhary was named in several other criminal cases including the 1993 spurious liquor case in which 23 people died.