Five dead bodies have been found, NSG Director General J K Dutt has said. 

We had taken over the second floor of the house when grenade was launched from above. Three hostages were killed by terrorists before they moved upstairs, said J K Dutt. NSG commandos then moved upstairs to kill two terrorists on the fourth floor. Terrorists killed two hostages on this floor, he added. 

Third floor is still to be secured by NSG, whose commandos are there, he said. 

The fate of terrorists is still unclear--whether captured alive or killed. 

The NSG is searching the building and adjacent areas as well. 

A while ago, fresh explosions were heard at Nariman House. A portion of Nariman House was damaged after rocket propelled grenade were launched as part of terrorist flush-out operation. A gaping hole could be seen on the fourth floor in the Jewish residential complex. 

Commandos in twos were seen from fourth floor to third floor in the five-storeyed Nariman House complex where some Israelis were been taken hostage by three-four terrorists 

Smoke was seen billowing out of Nariman House complex. 

Heavy gunfire erupted on Friday after NSG commandos were dropped by helicopter onto the roof of Nariman House in Mumbai, a witness said. 

Two to three terrorists are suspected to be holed in Nariman House, said Mumbai police chief Hassan Gafoor. ( Watch ) 

The airborne assault on the center run by the ultra-orthodox Jewish outreach group Chabad Lubavitch was punctuated by gunshots and explosions as forces cleared it floor by floor, according to reporters at the scene. By Friday afternoon, the commandos had control of the top two floors. 

One camouflaged commando came out with a bandage on his forehead, while soldiers fired smoke grenades into the building and a steady stream of gunfire reverberated across narrow alleys. 

More than 143 people were killed and 288 injured when terrorists attacked 10 sites in Mumbai starting Wednesday evening. 

Security officials said their operations were almost over. ``It's just a matter of a few hours that we'll be able to wrap up things,'' Lt. Gen. N. Thamburaj told reporters on Friday morning. 

The witness said troops fired into the Nariman House, apparently to provide cover, as commandos rappelled down ropes from helicopters that made at least three sorties.  

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