Police commandos are said to be going from room to room at the blazing Taj Mahal Palace hotel in Mumbai, searching out at least half a dozen militants reported to be from a small Muslim group called the Deccan Mujahideen.
Witnesses say the gunmen deliberately sought out British and American nationals.
“They wanted anyone with British or American passports. “Is there anyone with British or American passports?” they wanted to know. I guess they were after foreigners.”
A number of people were released overnight but bodies have also been carried from the hotel on stretchers.
The Indian government says at least five militants have been killed and one captured so far.
A series of attacks at 10 locations including the railway station and popular restaurants sent people fleeing for their lives.
As reports of the carnage dominated the national and international media at least three sieges were still going on throughout the city.
At least four militants were said to be attacking a Jewish home in Mumbai where a family is trapped inside.
The aftermath outside and inside the railway station showed the intensity of the attack.
The head of the anti terror police is also said to have died.