The incident occurred in front of the Rice Research Institute in the Dharmadash area of the town around 3am on Monday night, said Rangpur Additional Superintendent of Police Saifur Rahman Saif.
The suspect has been identified as 35-year-old Rajab Ali, leader of a road robbery gang.
“Police conducted an operation against robbers taking up positions near the Rice Research Institute area,” the additional police super told bdnews24.com.
“The robbers opened fire on police and police retaliated. Rajab was hit in the crossfire and died.”
A pistol, a sharp weapon and various makeshift weapons were recovered from the scene, according to Saif.
Rajab is accused in robbery cases at police stations in Mithapukur, Taraganj, Pirganj, Gaibandha and Rajshahi, he added.