This was the second such plot foiled by security agencies in a month. Earlier, terrorists had planned to target Azad at Ramban in Jammu region but the three possible attackers were nabbed before they could act.
The identities of the arrested militants were not revealed by police immediately and they did not rule out the possibility of more arrests.
Four of gunned down terrorists belonged to JeM.
This is the second encounter in the district in as many days.
Al Qaeda not only looks upon India as a close associate of the US similar to the UK, but also as providing favourable conditions for its overseas operations directed against US nationals and interests in Indian territory.
Khan, alleged to be a JeM militant who had gone to Pakistan for training, was killed in a police encounter in 2002. Human rights activists have alleged he was killed in a false encounter and not while fleeing from the police.
"We hit India by entering inside. Our achievement in Pulwama is the achievement of the entire community under the leadership of Imran Khan. You all also have credit (for it), Chaudhry told the National Assembly on Thursday.
India on Wednesday night deferred a decision on whether to go ahead with the FS-level talks with Pakistan on Friday after the detention of "several individuals" of the dreaded JeM by Islamabad.
The unprovoked firing from across the border took place in the Nowshera and Sunderbani sectors in Rajouri district and the Krishna Ghati sector in Poonch district.
According to a preliminary analysis, the flying object was a hexa m-copter with six wings and had a GPS device and a flight controller, the officer said.
Following the development, PCB managing director Wasim Khan said that they are extremely disappointed with the recent turn of events and 'asserted that sports and politics should be kept separate'.
The retaliation also comes after an Indian Army solider was killed in Pakistan firing along the LoC in Jammu and Kashmir's Rajouri district on last Saturday.
The proscribed organisations will be examined under heightened security checks at all layers of legal, administrative, investigative and financial regimes, the Dawn newspaper reported.
India has conveyed to Pakistan the need for early and "visible progress" in the Pathankot airbase terror attack probe in that country, Rajya Sabha was told on Wednesday.
The law also provides for putting travel ban on such individuals once they are declared as terrorists.
Joint Commissioner of Ahmedabad Police C P Pandey made this claim on the first anniversary of the attack.
Wani, who is involved in several militancy-related cases in Doda district, was taken into custody from Transport Nagar where he had gone to meet his associates to chalk out a plan for carrying out subversive activities in the winter capital.
The terrorists have been identified as Raqib Ahmad Sheikh, a resident of Shiganpora in Kulgam, and Pakistani nationals Waleed and Numan, a police spokesman said.
Security forces have arrested a top Jaish-e-Mohammad ultra wanted in connection with the attack in Ayodhya from Poonch district, official sources said on Friday. \n\n
Gopal Singh Chawla, under the instructions from the Pakistani authorities, recently stopped Indian officials from entering Gurudwara Panja Sahib on April 14 (Baisakhi day).
The terrorists were nabbed in a joint search operation launched Friday night by the 52 Rashtriya Rifles and Special Operation Group, Baramulla.
Mostly of the militants belonged to Pakistan-based Lashkar-e-Tayiba and Jaish-e-Mohammad.
Four militants each were shot dead in Poonch, Baramulla and Lolab, three in Kupwara and two in Udhampur, a defence spokesman said.
Acting on a credible input about the presence of terrorists in Bijbehara area of the south Kashmir district, security forces launched a cordon and search operation on Tuesday morning.
Highly placed Jammu and Kashmir government sources said the militants were brought to Srinagar on Sunday morning by police to identify the body.
The Pakistan-trained militants, identified as Ateeq Ahmad alias Nanhe and Rais Ahmad, are brothers of one of the two militants killed in the capital on Saturday.
The officials investigating the attack have reportedly recovered a note which points to a possible JeM role in the attack.
Foreign Office spokesman Zahid Hafeez Chaudhri said on Thursday that "there was no pressure on Pakistan at all regarding the release of Wing Commander Abhinandan."
Three rockets, six boosters, a high explosive 60 mm mortar bomb, four kgs of explosives, a grenade thrower, eight rifle grenades and two hand grenades were recovered.
Claiming that the Rashtriya Swayamsevak Sangh was included in a list of 38 terrorist outfits in an United States website, the Madhya Pradesh Congress on Saturday demanded a high-level probe into it.
Twenty-seven months after she lost her husband in an anti-insurgency operation in south Kashmir's Pulwama, 29-year-old Nitika Kaul on Saturday donned the army uniform after completing a one-year rigorous training in Tamil Nadu.
The three terrorists were hiding in various parts of Jammu and Kashmir for the past seven months
Maulana Masood Azhar, chief of Pakistan-based terror group JeM has not been arrested nor has he been put under house arrest.
A senior police official told PTI that the interrogation of Jaish militant Atiq Ahmed revealed that the militants were expecting a huge consignment of explosives to arrive in Mira-Bhayandar area.
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