Troops on Thursday cordoned off the Court Road and Bund areas in City Centre Lalchowk following inputs about the presence of militants.
Sources said that local police assisted by Central Reserve Police Force (CRPF) suddenly appeared at Court Road and cordoned off the entire area including Bund and started hunt for the militants suspected to be hiding in the same area.
Sources said police searched some hotels and guest houses there while pedestrians were also frisked and let off only after checking their identity cards.
However, some hoteliers at Court Road expressed regrets about the search operation saying the move created panic among tourists staying in the hotels and guest houses.
They claimed that the abrupt cordon of the area by troops created fear among the tourists who were putting up there.
Meanwhile, a top police official said that no search and cordon operation was launched in the city centre.