Lalzirliana handed over Rs five lakh in cash and a citation to Lallawmzuala, who hails from remote Tuahzawl village in western Mizoram.
Lallawmzuala during an intense combat with terrorists in Jammu and Kashmir on July 23 last year killed commander of the Lashkar-e-Toiba where he also received bullet injuries in his leg.
The terrorist commander Lallawmzuala gunned down was one of the most wanted terrorists having Rs 125 lakh prize on his head and was one of the masterminds of the 26/11 Mumbai terror attack.
The felicitation function was attended by two ministers, a parliamentary secretary and officials of the Sainik Welfare department and ex-servicemen.