The Gajuwaka police on Wednesday arrested Md. Ziyauddin Khan, owner of a fast food centre, on charge of killing cook Sharath Kumar.
The body of the cook was found in a pool of blood on Sunday and the police on the basis on suspicion and inconsistent statements given by Khan, questioned him.
On Wednesday he admitted that he killed Sharath Kumar for repeatedly harassing him over payments.
According to Gajuwaka Police Station SHO Emmanuel Raju, the accused moved to Visakhapatnam city about 20 years ago and set-up a fast food and biriyani point.
The centre clicked and rose to fame after Sharath Kumar had joined him as cook.
But Sharath would repeatedly leave the centre and demanded more pay to join back.
Vexed with the repeated harassment, Ziyauddin decided to eliminate him and on Saturday after heated argument, stabbed Sharath to death, said Mr. Emmanuel.
The accused was sent to remand and the police are investigating further.