An Afghan army truck collided with a bus Saturday in southern Afghanistan (search), killing three villagers and wounding seven, the interior minister said.

The crash occurred on the highway from the southern city of Kandahar to the Pakistani border, Interior Minister Ali Ahmad Jalali (search) told reporters in the capital, Kabul.

He said reports by officials in the area that a U.S. military vehicle was involved and that 10 people were killed were wrong.

A local police commander, Abdul Wasai, and Gen. Raziq Khan, a senior defense ministry official based in the district of Spin Boldak (search) where the accident occurred, earlier told The Associated Press an American military Humvee vehicle was involved and 10 people were killed.

Wasai also said U.S. troops had cordoned off the area and an investigation had been launched into the cause of the crash. The local officials couldn't be reached for further comment.

A U.S. military spokesman in Kabul, Lt. Col. Jerry O'Hara, said he had not heard of a crash involving a U.S. military vehicle, but there was one involving an Afghan army truck.