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* Witnesses say militia started shooting

* Fighters were protesting for cash hand-outs

* Prime minister ‘not in building at time’

(Updates with new details, quotes)

By Marie-Louise Gumuchian

TRIPOLI, May 8 (Reuters) – Several people were killed on

Tuesday when an armed militia protesting outside the Libyan

prime minister’s office in Tripoli started shooting,

highlighting the country’s volatility a month before it holds

its first election.

Witnesses and officials said the militia, from the town of

Yafran about 100 km (60 miles) southwest of Tripoli, was at the

prime minister’s compound to demand cash from the government

when the protest turned violent.

Adel Osman, a spokesman for the Defence Ministry, said there

were dead and injured, but he did not know how many. A security

guard inside the building told a Reuters reporter he believed

four people were killed.

“It’s calmed down,” the guard said. “They came and they were

protesting … We told the women to leave the building (when the

clashes started). The men stayed.”

The guard said interim Prime Minister Abdurrahim El-Keib was

at a meeting elsewhere when the shooting happened.

Earlier, Reuters reporters outside the compound, a short

distance from Tripoli city centre, heard sporadic bursts of

gunfire, including from large-calibre weapons.

Security forces cordoned off the area and ambulances could

be seen. After about 30 minutes the shooting died out and the

cordon was lifted. Journalists were allowed into the building

for a scheduled news conference.

The prime minister’s office is frequently the focus of

protests by disgruntled militias demanding cash or jobs in

recognition of the role they played in last year’s revolt to

oust Muammar Gaddafi.

Many of the militiamen are armed and occasionally their

protests turn violent. Tuesday’s clashes were the first time

fatalities had been reported from a protest at the compound.

Libya is due to hold its first free election next month to

choose an assembly to draft a constitution. People have started

to register to vote, a novelty in a country where Gaddafi banned

elections for 40 years.

There is a risk that the lack of security will jeopardise

the election. The government is struggling to assert its

authority over dozens of militias who refuse to disarm and take

orders only from their own commanders.

(Additional reporting by Ali Shuaib; Writing by Christian Lowe;

Editing by Janet Lawrence)