Security forces stormed a militant hideout outside Dhaka on Saturday, killing three suspected Islamists including the Bangladesh-born Canadian accused of organising last month's attack that killed 22 people, mostly foreigners.
Authorities say that after returning from Canada in 2013, Tamim Chowdhury led a faction of the banned militant group Jamayetul Mujahideen Bangladesh (JMB), blamed for a series of recent attacks on religious minorities.
The Islamic State group claimed responsibility for the July 1 seige of the upmarket Dhaka cafe in which gunmen held hostage mainly Western diners including one American, before killing them.
"We're hopeful we can now capture and eliminate other extremists including Zia," assistant inspector general of police, Mohammad Moniruzzaman, told AFP.
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Police suspect Zia, a former army major whose full name is Syed Ziaul Haque, heads another local extremist group called Ansar al Islam, blamed for the machete murders of a dozen secular writers and two gay activists.
Kerry is set to arrive in Bangladesh tomorrow on his first official visit to try to deepen cooperation on counter-terrorism and other issues.
Kerry will then head to India to co-chair the regular US-India Strategic and Commercial Dialogue and hold talks with Prime Minister Narendra Modi.
Bangladesh police hailed yesterday's raid as a major blow to extremists in the Muslim-majority country, which has been reeling from the recent killings.
The cafe attack has prompted foreigners, including potential investors, to leave Bangladesh -- sparking worries for its garment industry, the world's second largest after China.
Police have announced a reward of USD 25,000 for information leading to the arrest of Zia, who was sacked from the army in 2011 for an aborted coup bid against Hasina.
Experts welcomed yesterday's police raid but said the country, with its history of political instability, faces a long fight against Islamist extremism.
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