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At least three persons were killed, and five others were injured when a powerful explosion ripped through a building in the congested Panchvati area of this town Wednesday afternoon, police said. Several people are feared trapped in the building.

At least four people were killed and seven others injured in a suspected gas cylinder explosion in Nashik on Wednesday. The explosion took place at the first floor of the building. The first floor and the basement of the three-storey building suffered extensive damage due to the explosion.

The blast took place around 3 p.m. Two floors of the three-storey Saptashringi Apartment collapsed due its impact, a Nashik police control room official said.

"Four people have been killed and seven injured. The ATS, forensic lab and fire officials are all on spot. It seems to be a cylinder blast. But we will find out only after their investigation as to what the cause of the blast was," said Maharashtra Home Minister RR Patil.

Several vehicles parked in and around the building have been damaged in the blast.

Teams of senior police officials, bomb squad, dog squad, six fire tenders and a disaster management team have been rushed to the spot.

Several occupants of the building are feared to be trapped in the debris. The building had shops on the ground floor and residential flats on the upper floors.

Police are trying to verify the cause of the explosion although preliminary reports suggest that it was a cylinder explosion. Some police officials say that there is a possibility that more than one cylinder could have exploded.

However, police sources did not rule out the terror angle pointing out that the intensity of the explosion was on the higher side. They said that they are investigating keeping all angles in mind and added that shops on the ground floor of the building could have illegally stored some explosives.

The Anti-Terror Squad (ATS) from Pune has rushed to Nashik along with the local ATS team.

The nature of the blast - whether it was a cooking gas cylinder explosion or an explosive device - is being investigated.