I respect you folks for respecting others sensativities about killing animals. I always explain the food chain and how my species is at the top of it, and so on and so forth, I will say though that I sometimes feel like Tom G mentioned earlier, people often don't concur with my outlook.
I have never trapped otter but if you had a beaver problem I could take them out with traps under the nose of every neighbor you have and they would be none the wiser, the moon don't shine every night ya know. It would seem to me you may have to poison this thing to remain how should we call it, unsuspected?? I would think a 20 oz. pop bottle with the bottom cut out and a string with a weight tied to the neck would make a neat little bouy, you may need to trap some air in the there to get it to float, but that would keep the neighbors cats out of your bait. In this bouy you could put some ground fish with exlax or some such laxative in it, a very strong dose of course, or even a dose of whatever you like to coup de grace this fish eater with. The plan would be for the otter to consume the treat and meet his waterloo. Or you could get a silencer and just shoot it.
Seriously though CJ, i don't envy you your problem, folks get down right owly about killing pretty creatures, they don't mind eating bacon from a nasty old pig but don't kill the cute little furry thing that does the back stroke and flips around on the bank doing tricks. You have a problem if he is there to stay.