According to the police, Mohammad Yousuf Magray was involved in an attack on a village head in June.
Acting on a tip-off, Kulgam Police intercepted a car in Damhaal area a few days ago and arrested Magray, a "B-category" militant of Pulwama, along with a former militant Shabir Ahmad.
The car owner, Abid Ahmad, was also arrested, police said.
Investigations have revealed that Magray was involved in an attack on Mohammad Sidiq Bhat of Gobbal village in the district on June 6, police said.
Bhat and his family members had escaped unhurt in the attack.