Policemen signalled two motorbike riders to stop near a checkpoint in Manghopir. The motorbike riders hurled a cracker at the police van injuring an ASI namely Sarfaraz, police sources said.
In retaliatory fire by the policemen an attacker was killed while his accomplice successfully escaped from the scene, officials said.
The slain attacker has been identified as Wahid alias Saddar Bush, police sources said.
The accused was wanted to police in over two dozen cases of heinous crimes including murder, extortion and kidnapping for ransom, police said.
The dead terrorist was affiliatted with an outlawed group.
Police has cordoned off the area and launched search of the other accused, officials said.