U.S. intelligence agencies monitoring China’s Internet say that from March 14 to Wednesday bloggers circulated alarming reports of tanks entering Beijing and shots being fired in the city as part of what is said to have been a high-level political battle among party leaders – and even a possible military coup.

The Internet discussions included photos posted online of tanks and other military vehicles moving around Beijing.

The reports followed the ouster last week of senior Politburo member and Chongqing Party Secretary Bo Xilai, who was linked to corruption, but who is said to remain close to China’s increasingly nationalistic military…

Another posting quoted internal sources as saying senior Communist Party leaders are divided over the ouster of Mr. Bo. The divide was said to pit Prime Minister Wen Jiabao and against party security forces and Minister of Public Security Zhou Yongkang.