An Egyptian soldier was killed and several more injured in a shoot-out with Israeli forces at the border with Gaza in an incident that both parties have tried to play down,
The Telegraph reports.
The shooting occurred at the Rafah crossing that the Israel Defense Forces (IDF) captured earlier in May.
The Egyptian army was conducting an investigation on Monday afternoon, an army spokesman said.
No Israeli casualties were reported.
Israeli media initially reported that the shoot-out started from the Egyptian side which triggered an Israeli response.
The Al Araby news channel, however, insisted that Israeli soldiers opened fire first.
The IDF said on Monday it was looking into the incident and consulting with the Egyptians.