Satrughana Swain, allegedly involved in several criminal cases, suffered bullet injuries during an encounter near Lankagah, a police officer said.
A pistol, two rounds of live ammunition, a crude bomb, a motorcycle and three phones were seized from his possession, the officer said.
Swain was admitted to a hospital in Bhanjanagara and his condition is stable, he said.
Swain was wanted in several criminal cases like bomb blast, robbery and dacoity in Ganjam and Nayagarh districts, he said.