The hostage-taker, identified as Subhash Batham, was shot dead in an encounter with the police, while his wife sustained injuries and has been admitted to a hospital, confirmed ADG UP Ramashastry.

According to the police, the incident took place at Mohamadabad area here when Batham had invited about 20 children to his house for a party and then locked them in.

When some local residents tried to get the door opened, he started firing from inside in which one person was injured in the leg. Batham even threw a low intensity bomb from the window.

Home Secretary Avneesh Awasthi said: "IG, Kanpur Range, Mohit Agarwal, with support from the quick response team, special operation group and Anti-Terrorism Squad of the UP police, spearheaded the operation, finally ending the nine-hours long stand off."

Uttar Pradesh Director General of Police (DGP) OP Singh added that the police was being cautious to ensure that the hostages are not harmed.

Parents heaved a sigh of relief as all the 23 children were rescued from Batham's custody safely.