The incident took place around 6pm.
The identity of the deceased has not yet been confirmed.
Jungle Salimpur is a large hilly area where low-income people from different parts of the country have settled over the years, forming informal communities.
Conflicts over land, extortion, and control of the area have led to the rise of several criminal groups.
The area is listed by the authorities as crime-prone.
Local sources said that around 15 to 20 armed criminals, led by top city gangster Sarwar Babla, tried to seize land in the area on Saturday evening.
Hundreds of local residents of the settlement resisted and attacked the intruders.
One criminal was killed on the spot, while at least 16 others, including Gang member Jabed, were injured, reports UNB.
Mujibur Rahman, Officer-in-Charge of Sitakund Police Station, said, “We heard that one person died and several others were injured in the clash. The injured have been taken to the hospital. The matter is under investigation.”