The students, identified as Hritik Tiwari and Rohit Kashyap, both 12 years' old, were riding a bicycle to school, when a tractor-trolley coming from the opposite direction hit their bicycle, killing them on the spot.
Angry locals set the vehicle on fire after the accident, the driver, however, managed to flee.
Locals alleged that police allow these sand-laden tractor-trolleys to pass through the village after accepting bribes, leading to such accidents.
Police have sent the bodies for post-mortem.