WARANGAL, June 19: In an encounter between the police and a gang of three persons belonging to the People’s War Group (PWG), one extremist, identified as Bade Murali (25) was killed and two RTC buses were burnt. According to the police, who were conducting a routine combing operation, the youths hurled hand grenades at them and shot from a .12 bore gun. One of the naxals was killed as the police fired back in defence.