At least three people were killed as suspected Maoists attacked the Dhanbad Intercity Express Train in Bihar's Jamui district on Thursday.
Five others were injured in the attack.
According to reports, a of nearly 100 suspected Maoists attacked the train.
"Three persons were killed (two passengers and one RPSF constable) in an ambush when Dhanbad Intercity Express Train No.13331 was stopped by a group of suspected Maoists at around 1.20 PM near Jamui Railway station in Bihar today," the Ministry of Railways said in a statement.
Stating that the incident was extremely unfortunate and a matter of profound grief, Railway Minister CP Joshi announced an enhanced ex-gratia amount of Rs 5 lakh to the next kin of each of those who were killed in this incident, Rs. 1 lakh to one passenger who was grievously injured and Rs. 25,000 to each of four persons (three passengers and train Guard) who received simple injuries.
Joshi told media that all possible help including medicinal facilities were immediately made available to the passengers including the injured persons.
"The affected train resumed its operation at 3.30 p.m. and all trains are running normally on this route," the Ministry said.
Director General, Railway Protection Force (RPF) has rushed to the incident spot.
The Ministry of Railways said it is in constant touch with the Ministry of Home Affairs and the State Government of Bihar to ensure safe and normal train operations in the area.
Union Home Minister Sushilkumar Shinde earlier told media:"The CRPF and the local police have reached the spot. The operation is on."
Reacting to the incident, Minister of State for Home Affairs RPN Singh told media: "It is unfortunate that Naxals have now started attacking innocent civilians."
He said the rebels are on the ´back foot´.
In one of the deadliest strikes in Chhattisgarh on May 25, the rebels in hundreds, dressed in civilian clothes, killed above 20 people, including anti-Maoist movement force Salwa Judum´s founder leader Mahendra Karma.
Karma was a senior Congress leader.
At least 32 others were injured in the attack.