"All schoolchildren are safe", Poonch additional superintendent of police Masroor Mir told IANS.
"It (the school bus) has not met with any accident. The reported bus has returned safely", the tweet read.
Amid rumors that a bus carrying students has met with an accident in Pir Panchal districts, the administration in Rajouri and Poonch districts said that no accident has taken place.
Earlier in the afternoon, it was all chaos and confusion as shock waves gripped both the adjoining border following rumors about the death of almost 40 children in a school bus accident at PKG. "Police and army teams have reached the spot and a massive rescue operation is on", the news agency quoted a senior police official saying.
The bus was taking the children on a picnic from Manjakot to Peer Ki Gali on the Mughal Road that connects Rajouri with Shopian district in the Kashmir Valley.