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Delhi LPG racket exposed: Cylinders hoarded, sold illegally, gas siphoned

  • March 14, 2026

An undercover investigation has exposed a widespread LPG black market in Delhi, where cylinders are hoarded, sold without booking slips and even partially emptied before delivery, raising serious concerns over supply diversion, consumer exploitation and safety risks.

Illegal LPG cylinder trade thrives in Delhi with hoarding and siphoning. (File photo)

An undercover investigation has exposed a thriving illegal LPG cylinder trade operating across several parts of Delhi, where gas cylinders are being hoarded, sold without booking slips and even tampered with before reaching consumers.

The probe found that black-market dealers were storing dozens of cylinders in residential houses, selling them at inflated prices and siphoning off small quantities of gas from each cylinder before delivery. The revelations come amid rising consumer anxiety over cooking gas availability following the Gulf crisis and changes in delivery timelines.

RISING CONCERNS OVER LPG AVAILABILITY

The investigation comes at a time when concerns over LPG supply have been mounting among households and commercial establishments.

On March 11, the Ministry of Petroleum and Natural Gas announced that the minimum delivery period for domestic LPG cylinders would increase from 21 days to 25 days. The government also maintained the existing annual cap of 15 cylinders per household.

Officials described the decision as a temporary step to manage demand during supply concerns. The government has maintained that there is no actual shortage of LPG or fuel oil.

However, reports of long queues outside gas agencies and restaurants shutting down due to the lack of commercial cylinders have begun emerging from several metropolitan cities.

Against this backdrop, the investigation uncovered what appears to be an organised black-marketing network operating across Delhi-NCR.

DOZENS OF CYLINDERS HIDDEN INSIDE NARELA HOUSE

The first location investigated was Swatantra Nagar in Narela in north Delhi.

House L-762, located behind a private school, appeared like a normal residential building from the outside. A small grocery shop was operating at the entrance, with routine activity in the neighbourhood.

Inside the house, however, reporters discovered around 50 LPG cylinders stacked together, suggesting the premises was being used as a storage point for illegal cylinder trading.

The team initially encountered a man named Gopal, who denied that cylinders were available for sale. When asked whether a cylinder could be purchased, he suggested the reporters return in the evening if supply arrived.

But when reporters pointed out the cylinders visible inside the premises, his response changed. He said cylinders could not be issued without a valid booking slip.

After some hesitation, Gopal introduced the reporters to a man locally known as Inne, who allegedly runs the operation.

Inside a room stacked with cylinders, Inne was seen holding a bundle of delivery slips. He insisted that cylinders were given only against slips, but also hinted that slips could be reassigned to different customers.

He refused digital payments and insisted that transactions must be done in cash.

According to him, online payments could not be accepted because the sale involved using another customer’s booking slip.

During the conversation, it also emerged that the group was primarily dealing in Indane cylinders and refused to exchange them with Bharat Gas cylinders brought by the reporters.

CYLINDER HOARDING UNCOVERED IN JASOLA VIHAR

The investigation then moved to Jasola Vihar in south Delhi, where two authorised LPG agencies operate.

At the agency, staff refused to issue cylinders without a booking receipt.

However, only a few metres away, reporters found several cylinders stored in small shanties in a nearby lane.

When questioned, a delivery worker named Praveen initially claimed the cylinders were empty and meant for customer deliveries.

After further questioning, he admitted the cylinders belonged to his employer and advised reporters to contact his boss, Sunny.

The reporters called Sunny and explained that they had an empty cylinder but no booking slip.

Sunny asked which company the cylinder belonged to and whether any booking receipt was available. Despite being told there was no receipt, he agreed to arrange a cylinder if the price was right.

The reporters eventually purchased a domestic LPG cylinder for Rs 1,500, even though the official price was Rs 913.

Praveen also admitted that he siphoned off small quantities of gas from cylinders before delivery.

He said roughly half a kilogram to three-quarters of a kilogram of gas was usually removed from each cylinder.

This means customers buying such cylinders are paying higher prices while receiving partially filled cylinders.

SANGAM VIHAR EMERGES AS ANOTHER HOTSPOT

A similar pattern was observed in Sangam Vihar in south Delhi.

At a local gas agency, staff again refused to provide cylinders without valid booking slips and told customers to collect cylinders only from their registered agency.

However, just a short distance away, cylinders were being openly sold in small shops.

One dealer, Harish, initially denied having extra cylinders but later offered a 19 kilogram commercial cylinder for Rs 4,200.

He then asked reporters to confirm the deal with his mother, who repeated the same price and claimed the cylinder was fully filled.

She told reporters that they had purchased two cylinders earlier and had already sold one.

ANOTHER DEALER SELLS CYLINDER FOR RS 2,000

The investigation also led reporters to another dealer named Prince.

When contacted by phone, Prince arrived at his shop with an associate. The shutters were kept mostly closed, reportedly to avoid attracting police attention.

When the shutter was slightly lifted, several cylinders could be seen inside.

Prince’s associate initially claimed there was no stock and that the visible cylinders were empty.

Later, he said two cylinders could be arranged by evening.

The reporters eventually purchased one cylinder for Rs 2,000 and paid through UPI.

ILLEGAL REFILLING RACKET UNCOVERED

The investigation also exposed a widespread practice of illegally refilling smaller LPG cylinders.

These cylinders, typically holding 4 to 6 kilograms of gas, are commonly used by roadside tea stalls, small eateries and low-income households without formal LPG connections.

Local shopkeepers openly offered to refill such cylinders at Rs 150 per kilogram.

Customers were told they could refill as little as one or two kilograms depending on their requirement.

Source : https://www.indiatoday.in/india/story/investigation-uncovers-organised-black-market-lpg-trade-amid-supply-concerns-in-delhi-cylinders-hoarded-sold-illegally-gas-siphoned-2881703-2026-03-13

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