A senior police officer said that a school bus carrying children back home from school fell into a 300-foot deep gorge near Kandivari village, 70 km from here, after the driver lost control of the vehicle.
The bus was going from Dialgam to Kokernag town when the accident happened.
"Five children died on the spot while 15 others were injured and have been shifted to hospital for treatment. Some of the injured are in a critical condition since the bus rolled over hard rock before it crashed on the bottom of the 300-foot deep gorge," said the officer.
Panic gripped Kandivari and adjacent villages after the news of the accident spread.
Senior police and other district administration officials have rushed to the spot to supervise search and rescue operations.