Police were called to Bromage Road in Abermain, around 8km from Cessnock, around 12.05am today following reports a car doing a burnout had crashed into a parked car, which then hit several pedestrians.
The 18-year-old driver suffered serious injuries and was taken to hospital where he remains under police guard.
Two children, aged five and six, were also hospitalised with serious injuries.
Five adults were also hurt and have been taken to hospital.
A crime scene has been established and the Crash Investigations Unit is looking into the incident.
Anyone who may have witnessed the incident or has footage is urged to contact police or Crime Stoppers on 1800 333 000.
