Initial reports Saturday said Khamis had been captured alive in Bani Walid, although the Post reported the government was expected to announce the fugitive's death. Fireworks and car horns filled the night Saturday, as news of the death spread throughout the country.
Khamis was a commander of Gadhafi forces last year during the Libyan uprising and was known for his brutality, the Post said. He allegedly participated in the killing of protesters in Zawai, Tripoli and Misurata.
Meanwhile, the Libyan government announced the arrest of Moammar Gadhafi's former spokesman, Moussa Ibrahim.
"Moussa Ibrahim had been arrested by forces belong to the transitional Libyan government at a checkpoint in the city of Tarhuna," a statement from the Prime Minister's media office said.
"(Ibrahim) is being transferred to Tripoli to be handed to the relevant authorities pending interrogation," the statement added.