Metropolitan Magistrate Jitendra Pratap Singh allowed the police custody of accused Manoj Jain, 49, who was arrested on January 21 in connection with the fire tragedy which took place on January 20.
A probe revealed it was a factory of "cold firecrackers" used in stage shows and Holi celebrations, the police had said.
Police said an FIR had been registered under Indian Penal Code sections relating to culpable homicide not amounting to murder, and negligent conduct with respect to fire or combustible material. The maximum punishment under the sections is 10 years.
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