The standoff was carried live by most TV news channels in Pakistan for six hours.
Carrying two automatic weapons and using his two children and wife as human shields, Sikandar Khan kept the Islamabad police puzzled on how to deal with the situation.
The saga ended late Thursday night when a local MP tackled the gunmen on his own initiative after volunteering to conduct negotiations.
In a scene out of a Bollywood movie, Zamurrad Khan, a local member of parliament, first drew close to the family of Sikandar Khan and then pounced on the gunman in a bid to disarm him.
Chaos ensued in which first Sikandar tried to shoot Zamurrad Khan and then tried to run at which point the local police shot Sikandar down. Zamurrad, who had fallen in the scuffle, by then had gathered the children and taken them to safety.
The incident, however, has raised questions about the security arrangements in place in the Pakistani capital, which has been on red alert for the past few weeks over threats issued by militant groups.