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The accused, identified as Deepak Kshetri, has been arrested, Superintendent of Police (Pithoragarh) Lokeshwar Singh said.
Muhammad Owais, the manager of a State Bank of India branch, suffered 36 per cent burns and has been admitted to the All India Institute of Medical Sciences (AIIMS), Rishikesh, after first aid at a nearby hospital, he said.
The pair had fought earlier as well, the police said.
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Kshetri, a resident of Dehradun, retired from the Jammu and Kashmir Rifles and was working as a security guard at the bank for the past two years.