UPDATE 5:45 PM PT: Law enforcement sources tell TMZ the car that was hit was a Jackson security car, which was following the car carrying the Jackson kids. The kids were NOT in the car that was struck by the paparazzo.
Cops also tell us a hit-and-run report was taken on the scene around 2:20 PM near the crash site in Sherman Oaks -- just a few miles from the Jackson home in Encino. It is currently under investigation.
UPDATE 5:30 PM PT: Witnesses tell TMZ the driver who struck the Jackson car fled the scene after impact. In California, leaving the scene of an accident without exchanging information is a crime. The D.A. could file a felony hit-and-run charge if the evidence is there.
UPDATE 5:15 PM PT: Joe Jackson tells us he spoke with Katherine and the kids are fine.
TMZ has learned Michael Jackson's kids were involved in a car accident moments ago in Sherman Oaks.
We're told a paparazzo -- not ours -- was following the Jackson car when the pap's gold Yukon rear-ended the Jackson car near the off-ramp of the 101 Freeway near Katherine Jackson's Encino home. Our sources say the accident wasn't severe and the kids are okay.
Story developing ...