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The incident happened amid heavy rains on National Highway 29 near Old Chumoukedima police checkpost around 5 pm, they said.
One person died on the spot, while another person succumbed to the injuries while undergoing treatment at the Referral Hospital, they added.
The three injured are undergoing treatment at the hospital, officials said.
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The cars were coming from the Kohima side during the accident, which was caught on the dash camera of a vehicle behind them. The video went viral on social media.