Police sources said the civilian was identified as Muhammad Yusuf, the house owner where the militants were holed up. The gun battle is on in Khiram village of Srigufwara area.
“Hafeeza, the wife of the slain house owner has also sustained gunshot injury. She was shifted to hospital for treatment,” police said.
Other than this, a member of the special operations group (SOG) of the state police was also killed during the ongoing operation, while three other security personnel were injured.
Earlier, the security forces laid a cordon around the village following specific information about presence of four militants hiding in the house.
“As the cordon was tightened, the militants fired, triggering the encounter, which is still underway,” a police officer said.
Friday’s is the first gunfight after the state was put under the Governor’s rule.
Dozens of youth have started pelting stones at the security forces some distance from the encounter site.
Authorities have suspended mobile Internet services in the district to check spread of any kind of rumours.