It has repeatedly said it is opposed to leaving Douma, and is believed to want to remain in the town as a local security force recognised by the Syrian government.
Syrian government forces and rebels on Saturday intensified tit-for-tat attacks on the Syrian capital Damascus and its outskirts as the government was pressing on with a military offensive to retake the last opposition pocket near the city.
Syrian State media reported on Saturday that the soldiers pushed deeper into Douma from western and southern fronts during their ground offensive.
Regime forces were locked in violent clashes with Jaish Al Islam rebels in agricultural areas to the southwest and east of the town, the monitor said.
The ministry has informed that about 7 people being killed and over 42 injured by Jaysh Al-Islam militants during the shelling of Damascus with 25 mortar shells and bombardment missiles.
In northern Syria, the Turkish military said on its Twitter account that it has established the ninth observation post in the rebel-held province of Idlib as part of the de-escalation agreement with Russian Federation and Iran.
Jaish al-Islam appeared to have agreed to an evacuation deal, as did other groups in two other areas, and indeed around 4,000 fighters and relatives left the town on Monday.
In an earlier report, the Observatory said the Islam Army was discussing a new deal with Russians and the Syrian side after suspending evacuation and release of kidnapped people.
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UK Prime Minister, Theresa May, has accused Russia of orchestrating the attack and expelled 23 Russian diplomats. Yulia is no longer in critical condition.
The Army of Islam has never publicly confirmed the agreement, and is said to be divided on whether to leave Douma, with hard-liners wanting to stay and fight.
The violence came after almost two weeks of calm in the last rebel-held town in the area known as eastern Ghouta after the Russians have agreed with the Army of Islam to evacuate the area toward rebel-held regions north of the country.
Backed by Russia, Syrian troops have recaptured 95 percent of Ghouta through a fierce air and ground assault, as well as negotiated withdrawals.
Army of Islam official Ammar al-Hassan told The Associated Press that he has no information on whether the truce collapsed.
A commander in the regional military alliance that backs Assad said Jaish al-Islam's only option was to accept safe passage to rebel-held areas northeast of Aleppo as talks overseen by Russian Federation had collapsed. "We've been waiting for this for years, whether in Ghouta or in Damascus", said Abbas.
Separately, Turkish President Recep Tayyip Erdogan has been threatening to expand the offensive against Syrian Kurdish militants in northern Syria eastward to the town of Tel Rifat.
Syrian state media is reporting that a bomb has exploded near a mosque in the capital Damascus killing one person and wounding six others.
The Observatory said 40 people were killed on Friday, with eight more dying in the latest violence.