At least two militants, believed to be members of the banned Jaish-e-Muhammad outfit, were killed in a day-long gunfight with security forces in Maloora village, on the periphery of Srinagar, on Thursday.
Two young girls, two policemen and a press photographer were wounded, some hit by stray bullets, some by splinters from grenade blasts, said the officials.
One Showkat Ahmed Lone, believed to have acted as a guide to bring the militants to Maloora from Bandipore district, was with them when the fighting started but later surrendered.
Army troops, the SOG and the CRPF were searching for a third accomplice who may have taken cover in one of the village houses after giving them the slip during the fighting. Army helicopters were used for surveillance and also to drop paratroopers, witnesses said.