BILIRAN -- Police have arrested the suspected gunman in the fatal shooting of a New Zealander in Biliran province, officials said Thursday.

Another suspect is being sought.

One of two men on a motorcycle shot dead Simon Rawlinson, 63, in Naval, Biliran, on Wednesday, July 26, said Senior Police Officer Jimmy de Lima.

The perpetrators took Rawlinson's bag containing money, a laptop and the victim's documents, he added.

Rawlinson, a long-time resident of nearby Maripipi island, was in Naval for a trip to the market when attacked.

De Lima said a witness led police to the suspected gunman, a local farmer.

Found in the suspect's house were a pistol, bullets and clothes he was seen wearing on CCTV footage during the shooting.

The motorcycle driver is still at large.

After taking the bag, the gunman approached Rawlinson who was sprawled on the sidewalk and fired a third shot, hitting him in the head, De Lima said, raising doubt about robbery as a motive for the attack. (AP)