Police on Friday confirmed that security forces gunned down three Jaish-e-Mohammad (JeM) militants while four security forces personnel sustained injury during an encounter in the Pantha Chowk area of the city.
One of the slain militants was involved in the December 13 attack on a police bus in the nearby Zewan area.
In the exchange of fire, three police personnel and a CRPF personnel were also injured, the official said, adding that they were rushed to a hospital for treatment.
Inspector General of Police, Kashmir, Vijay Kumar identified one of the slain militants as Suhail Ahmad Rather of proscribed terror outfit JeM.
"As revealed during yesterday's PC, terrorist Suhail was also involved in #ZewanTerrorAttack. All terrorists involved in Zewan attack have been #neutralised," the IGP said in a tweet.
Two militants involved in the Zewan attack were killed in an encounter with security forces in Anantnag on Thursday.