Unbeknown to the Bushrangers, McManus and McCabe were in the inn, obtaining fresh provisions for their pursuit. The two Police, had taken their weapons into the inn,  As soon as the bushrangers made their threat the two police officers grabbed their carbines and opened fire. Realising they were police  officers, the bushrangers opened fire simultaneously. Several shots were fired by both sides in rapid succession. Constable McCabe, who had dropped to one knee and fired, was shot in the chest, however he managed to fire several more times, hitting Pearson in the wrist and right arm, however, one of his bullets struck Constable McCabe in the left side where it did serious injury.

In the cloud of blinding smoke from the discharged gunpowder the two Bushrangers managed to make their way out of the building, followed by more shots from McManus. Quickly catching their horses they galloped off towards the border, dropping a revolver in their haste.

The seriously-wounded McCabe was carried to a sofa and a doctor was summoned. For several days his condition changed up and down and eventually he seemed to be recovering. However, after about four weeks he suddenly deteriorated and, despite the efforts of the doctor, on 1 November he died as a result of both his wounds and the resultant infection. . He is buried in Bourke Cemetery.