08/02/2008 at 03:30 PM EDT
Gunfire erupted early Saturday at an Atlanta nightclub party sponsored by Jermaine Dupri and attended by music stars Usher
, Nelly and Sean "Diddy
" Combs. A security guard was reportedly wounded.
"I'm sad this incident happened because it interrupted a beautiful and loving party. But I'm happy none of my people or friends got hurt. And the party continues," Dupri tells PEOPLE in a statement.
The shots were fired at about 3:30 a.m. at the party at Dreamz ATL after some guests were allegedly double-charged by security guards to enter, DeKalb County police spokesman Marcus Hodge tells WSBTV.
Rowdy guests were escorted outside, where the shooting occurred, Hodge says. A club security guard was shot in the arm. He was treated at a hospital and released, Hodge says.
The party also was attended by actresses Gabrielle Union and Regina King and actor Larenz Tate.
"I didn't hear the shots, but around 3:30 a.m., everybody started ducking," party guest Nigel D. of realtalkny.net
tells PEOPLE. "Nobody really knew what happened. It was dark in the club. And everyone was trying to get out of the VIP area, but there were so many people no one could really move."
An announcement was made that the sound wasn't shots but a bottle popping or a speaker problem, "But people, including the celebs, were still trying to leave, so I don't think anyone believed them," he says. "I got outside, and the cops shut the club down. No one inside could leave and no one outside in the parking lot could leave either. One of my friends was stuck inside the club and people were scared that the shooter was still inside."