By Olarewaju Kola
Officials told Anadolu Agency that the insurgents stormed Gulak, a quiet community in the northeast Adamawa State at about 8 pm (1900GMT) on Monday, firing heavy weapons.
"We fear high casualties because some locals were caught in an exchange of fire between military troops and Boko Haram," said a security source, who asked not to be named due to restrictions on speaking to the media.
Hundreds of residents also fled the town in the ensuing shooting, which lasted until midnight, the source added.
Gulak is the headquarters of the Madagali Local Government bordering Borno State, the epicenter of the insurgency and birthplace of Boko Haram.
Mohammed Yusuf, chairman of the Madagali Local Government, told journalists on Tuesday that troops are still chasing the insurgents through the bush.
Praising the troops for "not allowing Boko Haram to overrun the town" again, he said exact casualties are unknown as the military operation is still ongoing.
Boko Haram has claimed responsibility for most of the attacks on communities and public building in northern Nigeria states since
The Monday dusk attack on Gulak was the fourth on the town in its nearly seven-year violent campaign.