Baghdad: At least seven people were killed when a powerful car bomb exploded today (July 14, 2004) outside the heavily fortified area in Baghdad housing the Iraqi Government and the US embassy, officials said.

The blast outside the so-called Green Zone appeared to be the most serious attack against the Iraqi Government since it took over power from the US-led occupation in June.

Three members of the Iraqi National Guard and four civilians were killed and 23 were wounded, US Army Colonel Mike Murray told reporters at the scene.

"It was a car bomb. It happened at 9:20 am (10:50 hrs IST) by the front gate where cars go to enter the Governing Council building," an Iraqi policeman said. "There were many casualties."

Black smoke billowed up into the sky and sirens wailed as police and the US military sealed off the area.

Jumpy US soldiers pointing their guns at panicking bystanders yelled, "Get away. Get away".

At least 10 ambulances zoomed in and out of the smoke-filled area, sirens blaring.

"I was in the police station when the car exploded. I don't know how many casualties there were. But I can say that there were many, I saw so many wounded," said police sergeant Adnan Kamil Aziz.

One teenage boy rested on stretcher covered in blood and dust. His father was beating his face and shouting, "Why, why."

Other wounded men and women oozed blood from their mouths and heads.