Six terrorists were killed in a fierce gunfight.
Violent protests had broken out a year ago in July after Wani was killed, leaving more than 100 people dead and over 12,000 injured. However, another Hizbul commander Zakir Rashid Bhat alias Zakir Musa, took over the reins of the outfit's Valley operations.
Yasin Malik along with chairmen of both factions of Hurriyat Conference, Syed Ali Shah Geelani and Mirwaiz Umar Farooq, have called for a two-day shutdown in the Valley to protest the killing of the two militants and the use of "brute force" against the protestors.
The divisional administration had imposed curfew in Khanyar, Nowhatta, Safakadal, M R Gunj, Rainawari, Kralkhud and Maisuma police station areas, while restrictions under section 144 in towns to prevent protests.
Witnesses said that despite restrictions, thousands of people attended the funeral prayers Sabzar.
A protester was shot dead by troops during clashes as hundreds of villagers tried to break the security cordon to help the militants to escape.
The separatists have called for a march to Tral town on Tuesday.
The residents of Saimoh said that the forces also destroyed two residential houses.
He said police and security forces used maximum restraint while dealing with the situation at these places and miscreants were chased away.
He carried a reward of Rs 10 lakh.
Hizbul commander Sabzar Bhat was killed in a gunbattle with security forces.
Several armed rebel groups are fighting against Indian rule, with tens of thousands of people, majority civilians, killed in the almost three decades-old conflict.
Fearing law and order problems, the authorities have chose to continue with the restrictions in volatile areas of Srinagar and other districts of the Valley on Tuesday as well to prevent protests.
The District Magistrate further ordered that all the colleges and schools in district Srinagar will remain closed on 30 May 2107. According to the report, at least 55 people have been injured, including 25 security personnel.
Security forces also resorted to pellet gun firing at the protesters in which 12 people received injuries.
Authorities snapped internet mobile services and calling services Saturday just hours after a month-long ban on 22 social media sites like Facebook and Twitter ended. Civil service (judicial) exam scheduled for today has been cancelled. For a state administration apprehensive of a repeat of the violent protests that followed the killing of Hizbul terrorist Burhan Wani in July, things have mostly been under control. Authorities said these were necessary to maintain law and order.