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Police said several LPG cylinders exploded late on Friday evening, causing the fire to intensify and spread panic among residents.
Thick plumes of smoke were seen rising from the area while locals tried to save their belongings and move to safer places. Fire officials said initial information suggests that 400 to 500 huts have been gutted.
The DFS said it received information about the fire at 10.56 pm, following which several fire tenders and fire fighting robots were rushed to the spot.
Police cordoned off the area and additional fire engines were kept ready to prevent the fire from spreading further.
A DFS official said that the fire was brought under control by morning. In this incident, Munna was burnt to death while Rajesh was injured.
Also read: Amid deteriorating air quality, Delhi government, MCD office timings revised from November 15