I don't see how the heroes doing great in encounter 1 should hinder them in encounter 2. Elsewhere in the rulebook and questbook they mention figures as blocking as a rote term. I think it is a case of editing overlook.
In any case I contacted FFG and hopefully will have some clarification soon.
Update: FFG confirmed that Militiamen are treated as Hero figures and as such may move through Hero spaces and vice versa.
There you have it, gents. The intuitive spirit of the game is maintained.
Edited by Zarovich, 30 July 2013 - 09:50 PM.