Soldiers and Youths of Izombe community in Oguta Local Government Area of Imo State, Friday, leaving about 10 people feared dead and scores injured.
A palace of a traditional ruler and about 11 buildings were reportedly set on fire.
Trouble was said to have erupted when soldiers in the area had a misunderstanding with some youths of the community over crude oil bunkering activities, Vanguard reports.
Bunkering activities had been on the rise in Izombe, Eziorsu and Osobodo in recent times.
Reports say one of the youths was allegedly shot by the soldiers during the misunderstanding.
Angered by the incident, the youths were said to have attacked the soldiers, which led to the killing of two of them and burning of some vehicles.
The soldiers were alleged to have reinforced and stormed the community in a reprisal attack which led to burning of some houses.
The Public Relations Officer of the Army in the State, Babatunde Zubairu, could not be reached as at press time.
Imo State has been rocked by violent attacks in the past months, with many killed and security formations attacked.