The Iraqi authorities Sunday denied that British troops have entered Basra or controlled the southern Iraqi city.
In a statement, Information Minister Mohammed Saeed al-Sahaf said that a large number of the coalition soldiers were killed in the fighting around the second largest city of Iraq.
Meanwhile, the Iraqi troops defending Baghdad have stopped the enemy troops, inflicting "a great number" of casualties on the enemy, damaging quite a number of their tanks and military equipment.
Earlier reports quoted the British military as saying that the British troops have entered and controlled most of the city.
Group Capt. Al Lockwood, spokesman for British forces in the Gulf, said that British troops have entered Basra and set up check points in the city.
Earlier on Sunday, Royal Marine commandos launched a major offensive on the southwest outskirts of the city.