UPDATE 10: While Gadhafi has been killed, the battle of Sirte isn't entirely over. There are still a few loyalists fighters holed up in Sirte, and the NTC has been searching the city for its remaining enemies.
A number of detainees have been taken out of the city in NTC custody, many of them wounded and bloody.
Authorities now believe that Gadhafi and other loyalists were captured trying to flee Sirte after weeks of fierce fighting. The NTC command had surrounded the city and the pro-Ghadafi fighters were likely running out of food, water and medical supplies, forcing them to attempt to escape.
UPDATE 9: U.S. Secretary of State Hillary Clinton:
“I think it would bring a sigh of relief to a lot of Libyans because they expressed to me their concern when I was in Tripoli two days ago that if he remained at large even after they liberated Sirte and declared the entire country was liberated, that he would wage a guerrilla war against them, that he would recruit mercenaries and pay out of stocks of gold they think he has secreted. If it is true, then that is one more obstacle removed from being able to get on with the business of announcing a government and trying to unify the country. They have a very steep climb ahead of them as you know to try to bring together Libya, build institutions, start on a new path to the future. Having him out of the picture will give them more breathing space.”
UPDATE 8: Gadhafi's body is now in Misrata, where it was taken to a mosque. Despite wavering opinions from Libyan citizens, the NTC has said that Gadhafi will receive an Islamic burial.
UPDATE 7: Watch video of Gadhafi's death here. The graphic video shows Gadhafi being dragged on the ground after being pulled from his hiding spot in Sirte. WARNING: The video is graphic.
The scene of Gadhafi being dragged around NTC fighters' feet will assuredly become one of the most memorable images of the Libyan revolution for years to come.
UPDATE 6: Anti-Gadhafi fighters are now in possession of Gadhafi's solid gold pistol. Newsweek posted a picture of the gun on its Tumblr page.
UPDATE 5: The National Transitional Council is now reporting that Mutassim Gadhafi and Abu Bakr Younus Jabr, the head of Gadhafi's military, have been killed. At least three of Gadhafi's children have now reportedly died since the Libyan uprising began in February.
UPDATE 4: Moammar Gadhafi's son Saif al-Islam is believed to be still at large in Libya's desert, Reuters reported Thursday. Saif al-Islam... was last known to have been in the area of Bani Walid and was believed to be 'in the desert' around the town.
Saif al-Islam is wanted by the International Criminal Court for crimes against humanity. The Hague alleges that Saif al-Islam, along with his father, ordered troops to shoot unarmed protestors.
Mutassim Gadhafi is also missing, but believed to be in the desert around Sirte. The NTC claimed last week that Muatassim had been captured, but the claims are now considered false.
Deputy Defense Minister Fawzi Abu Katif on Wednesday told the AP that authorities still believe Qaddafi's son Muatassim is among the ex-regime figures holed up in the diminishing area in Sirte. He was not seen on the ground after the final battle on Thursday, The Associated Press reported.
UPDATE 3: Al-Jazeera has released video of Gadhafi being pulled out of hiding by the NTC fighters.
UPDATE 2: Libya's interim Prime Minister Mahmoud Jibril has confirmed that Gadhafi is dead, according to The Associated Press.
While the State Department awaits further confirmation, a number of world leaders have issued statements on the news.
We hope that there will be peace in Libya, and that all those who are governing the state, different representatives of Libyan tribes, will reach a final agreement on the configuration of power and Libya will be a modern democratic state, Russian President Dmitri Medvedev said Thursday.
The reported death of Moammar Gadhafi marks the end of an era of despotism and an end also to the repression from which the Libyan people have suffered for too long. Today Libya can turn a page in its history and embrace a new democratic future, noted European Council President Herman Van Rompuy.
UPDATE 1: The AFP and al-Jazeera have published photos of a bloodied and possibly dead Gadhafi. A gruesome cellphone image seems to depict a wounded and bloodied Gadhafi being dragged away after his capture. The authenticity of the image, published by AFP, hasn't been confirmed. Al-Jazeera is showing a different image, which was taken from a short mobile phone vide.
Mobile phones have played a small, but significant role in the Libyan revolution. When rebels captured Libyan army cell phones at the start of the revolution in February they discovered horrific videos of soldiers raping and torturing civilian women. It was later alleged that Gadhafi encouraged rape and brutality as a tool of war and a method of quashing the Libyan people's spirits.
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Moammar Gadhafi was killed in Sirte, Libya on Thursday, the National Transitional Council said. The former dictator died of wounds sustained in the battle.
Commander Abdel Majid Mlegta, of the revolutionary army, told reporters that Gadhafi was found hiding in hole in city. Initial reports indicated that Gadhafi had been captured, but the NTC, Libya's transitional government, has now stated that the colonel is dead.
He was also hit in his head, the official said. There was a lot of firing against his group and he died.
Gadhafi is dead. He is absolutely dead ... he was shot in both legs and in the head, NTC media spokesman Abdullah Berrassali told Sky News. The body will be arriving in Misratah soon.
Neither the U.S. State Department nor NATO has been able to confirm Gadhafi's death.