Seven people, including three children, were killed in a blaze that ravaged through the shanties in northeast Delhi in the early hours of Saturday.

Chief minister Arvind Kejriwal announced a compensation of Rs 10 lakh for the kin of adult deceased, Rs 5 lakh in case of minor deceased, and Rs 25,000 to those whose shanties were gutted.

Two minors, Roshan, 13, and his sister Dipika, 9, of the same family were killed in the fire.

Five other deceased were from another family.

They were identified as Babloo, 32, Ranjit, 25, Reshma, 18, Priyanka, 20, and Shahansha, 10. Santu, the 58-year-old grandfather of Roshan and Dipika, said: “The fire started around 12.30am when we were sleeping. We have no idea from where and how it started.”

A senior official of the Delhi Fire Services said 13 fire-tenders were rushed to the spot and the blaze was brought under control around 4am.

Additional deputy commissioner of police (northeast) Devesh Kumar Mahla said the reason behind the fire was yet to be ascertained.