Dhaka: Bangla police commandos are storming the restaurant in Dhaka's high-security Gulshan diplomatic area where Islamic State terrorists were holding at least 20 people, including an Indian, reports said Saturday morning.
The move came after a few hours of calm following the midnight gunbattle with Bangladesh security forces in which two policemen were killed and 40 injured.
CNN quoted eyewitnesses as saying that intense gunfire could be heard coming from the direction of Holey Artisan Bakery.
A teenage Indian girl, was among the foreigners who were feared to have been taken hostage along with locals inside the restaurant. Her father was seen urging authorities to expedite negotiations for her safe release.
Two persons -- an Argentine national and a Bangladeshi-- who had taken refuge in a nearby house when the the gunmen entered the restaurant, were rescued by police.
Several foreigners, including Italians and Japanese, were feared to have been taken hostage along with locals inside the restaurant, they said. However, the total number of hostages still remains uncertain.
Police also said they have detained two employees of the restaurant for questioning.
At least nine terrorists shouting "Allahu Akbar" barged into the Holey Artisan Bakery, frequented by diplomats and expatriates, and opened indiscriminate fire at around 9:20 PM (local time) on Friday.
Islamic State group claimed responsibility for the attack through its Amaq news agency, nearly four hours after the hostage crisis unfolded. Amaq also claimed that 20 people had been killed in the attack.
Security officials issued instructions to people in the neighbourhood to stay indoors. No one was allowed on the streets in the vicinity of the restaurant, a police official said on the condition of anonymity.
Security forces, including Navy, Army and Air force personnel, were seen mobilising equipment in preparation for the operation.
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