Ahsan Shah, the main suspect in the Balaj Tipu murder case, was killed during an alleged police encounter. According to the CIA police, the incident occurred while a CIA team was escorting Shah to Shadbagh for evidence recovery. The team was reportedly ambushed by Shah's accomplices, who opened fire. The police claimed that Shah was fatally injured by the crossfire from his own companions, while the CIA team narrowly escaped harm. Shah was rushed to a nearby hospital but succumbed to his injuries.

The case traces back to February 18, when Amir Balaj Tipu, the son of the notorious Tipu Truckanwala, was killed at a wedding ceremony for the son of former DSP Akbar Iqbal Bala near Thokar Niaz Baig. The shooting incident claimed the lives of two individuals, including Balaj Tipu, and left three others injured. The second victim, yet to be identified, was believed to be the shooter who targeted Balaj before being shot by Balaj's bodyguard. The injured were taken to Jinnah Hospital in critical condition, where Balaj Tipu later died.