India, June 4 -- A targeted extortion hit by the Rohit Godara gang triggered panic in Panchkula's Sector 5 early on Thursday, culminating in a dramatic high-speed police chase and an encounter at Ramgarh, 10km from the town.

Police said the attack occurred around 1am outside the Swiss Lounge in Sector 5 in the heart of the city when the victim, Ratan Lubana-a resident of the Mansa Devi Complex who owns both Swiss Lounge and Da Bodega Bar & Kitchen-was exiting the venue. Lubana is the cousin of Narinder Pal Singh Lubana, the husband of Ward No. 1 BJP councillor Paramjit Kaur. Two assailants lying in wait opened indiscriminate fire on Lubana and his associate.

Closed-circuit camera (CCTV) footage captured the panic as bystanders scrambled...