Abdel Wahed al-Nur, head of one faction of the rebel Sudan Liberation Army (SLA), said the army, backed by janjaweed militia, attacked the Deir Mazza area on Wednesday.
"About three armed men of the movement were also killed in the attack. The innocent citizens included women and children," Nur said late on Wednesday, adding that the government used fighter planes.
Nur said the attack marked "a massive escalation from the government" and said the SLA would respond.
A Sudanese army spokesman who declined to be named said on Thursday no operations had been conducted in that area in the past few days and the report was "100 percent incorrect".
Violence is on the increase in Darfur, where some 200,000 people have been killed and more than 2.5 million driven from heir homes in a conflict that has raged since 2003.
Copyright Reuters, 2006