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Ashok Ram, who worked for a government-run middle school, was found hanging in his rented house.
According to his neighbours, Ram was frustrated over non-payment of his salary.
The Bihar Secondary School Teachers Association has time and again regretted denial of salary for periods ranging between six and 22 months to thousands of contractual teachers.
Last month, thousands of contractual teachers protested against Chief Minister Nitish Kumar. There are over two lakh contractual teachers in the state.