Udaya Nanayakkara, the Lankan military spokesman, said the Liberation Tigers of Tamil Eelam chief could be at the centre stage of the battle going by the deployment of the second rung leaders directly into the clashes with the security forces.

"The intercepts that we are getting about exchange of messages by the second rung LTTE [Images] leaders is indicative of Tamil Tiger leader Velupillai Prabhakaran still being in the Wanni," Nanayakkara underlined on Monday.

The military said there is a chance that Prabhakaran is still in a shrinking war zone in northern Sri Lanka [Images] and has not fled the island nation.

When asked whether Prabhakaran could himself be at the centre stage of the battle due to the reverses being suffered by the LTTE, the spokesman said "it is possible".

The LTTE faces heavy challenges in the wake of their shrinking territory in the embattled northern Lanka, as well as a drop in their fighters, who are being killed in the clashes with the Lankan army. Reports suggest that the LTTE intelligence leader Pottu Amman and Sea Tiger leader Soosai are also commanding the rebels.

The army has won a string of major victories over the Tigers in recent weeks, as the military prepares to inflict a "decisive blow.