The guard, Rotimi Olukoju, who worked with a microfinance bank in the town, was found dead on Thursday evening by some residents in a bush path.
Several residents told SaharaReporters that Olokoju was murdered on his way to the farm in the Iwaro area of Oka Akoko of the agrarian community.
They confirmed that Mr Olukoju was beheaded by the suspects while vital organs of his body were also removed and taken away.
According to them, the frightening incident has sent panic across the community.
A family member of the late Olukoju, who confirmed the incident to our correspondent on Friday morning, said his corpse had been taken to the mortuary by the police.
He explained that the deceased started working at the microfinance bank a few years ago to complement his farming, noting that his death was painful.
"Now, they have taken his life despite all the suffering. We are pained by his death and most especially the cutting of his head.
"My brother died a painful death but we have resulted in spiritual means to unravel the real people behind this and I pray God will expose those who did this to us," he said.
There had been reported cases of ritual killings and related activities in the Akoko area of the state in recent times.
When contacted, Tee-Leo Ikoro, spokesperson for the Ondo State Police Command, said they had begun investigation into the crime.
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