The Crime Investigation Agency chief Umer Virk said that on an intelligence tip off a police force comprising commandos raided terrorists' hideout in Bhaghwanpura area, a thickly populated locality near Wagah Border in wee hours of today, Press Trust of India reported.

According to the official one of the terrorists killed in the operation has been identified as Hafeez alias Mahmood who was wanted in Sri Lankan cricket team attack case (2009).

The suspected terrorist had carried a head money of Rs 2 million, the official said.

Virk further said the terrorists were planning to launch an attack in Lahore.

The visiting Sri Lankan team came under a terrorist attack in Lahore when they were on the way to the Gaddafi Stadium to play the third day of the second Test match on March 3, 2009.

Seven Sri Lankan players and team's British assistant coach, Paul Farbrace were injured in the attack, which left eight Pakistani security officers dead.

In 2011, Pakistan police arrested six suspects involved in the attack and have previously arrested the mastermind of the attack and another suspect.

The attack on Sri Lankan team isolated Pakistan as a host country to play the sport and Pakistan lost rights to host the 2011 ICC World cup due to the attack.