Page A1 Flour seized by Panamanian troops will be sold to the baking industry.

Panamanian troops and plainclothesmen swept into a luxury hotel in the capital tonight, seizing opposition supporters and more than a dozen journalists, five of them Americans.

"Panamanian troops are not involved, but the Panamanian authorities were notified, as required, by the United States."

A final danger is the possibility of a military confrontation between United States and Panamanian troops.

The Panamanian troops, aided by military advisers and troops from the United States of America, had declared their independence.

Administration officials estimate that about 300 Panamanian troops and 400 Panamanian civilians were killed in the fighting.

Panamanian troops and plainclothesmen firing birdshot and tear gas scattered several hundred anti-Government demonstrators in the capital today.

Panamanian troops, for example, have forcibly occupied the San Blas archipelago three times since 1925.

There was scattered resistance from Panamanian troops and armed bands of civilians.

The incident, the latest of several confrontations between Panamanian and American troops, occurred in an area known as Curundu near the Panama Canal.