Constable Shabir Ahmad was shot outside his residence at Bogund in Kulgam. He was shifted to Sub-district hospital Qaimoh where doctors declared him dead on arrival.
Two civilians, one of them a teenager, died and several others were injured when the locals gathered at the encounter site. "Some of the militants also fired from within the crowd indiscriminately on the security forces engaged in the encounter", said the spokesman. Mattoo carries a reward of Rs. 10L on his head.
The police said that the terrorists disfigured the faces of martyred policemen before walking away with their weapons. His popularity could be the reason why there were such intense protests in south Kashmir on Friday. However forces were deployed in strength in the area. Police used forces including teargas shells and pellets to disperse the protesters.
According to the police, civilians were injured in the "cross firing". Army has been rushed to the spot and was combing the area.
Section 144 prohibits free assembly of more than four people in an area.
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Reports said that the hundreds of youths assembled outside Jamia Masjid after the congregational Friday prayers and shouted slogans in favour of Azadi.
Rebel groups have largely been suppressed by Indian forces in recent years and public opposition to Indian rule is now principally expressed through street protests.
He said it was not immediately clear whether the duo were part of the stone-pelting protesters who tried to disrupt the anti-militancy operation in the village.
Unidentified officials told NDTV that the personnel were travelling in a vehicle when the militants opened fire.
Mehbooba said she has reiterated it time and again that violence and innocent killings would lead the State only to a cobweb bloodletting and destruction and uncertainty rather than paving the way for any peaceful solution.