Collapsed Delhi building was leased to 2 PG operators by owner's son: Police sources

The collapsed Satya Niketan building had been leased to Shubham Tyagi and Sudhanshu in August 2025, who ran the premises as a boys' PG accommodation under the name Hostel Daze. While Sudhanshu has been arrested, Tyagi remains absconding.

In Short

• Delhi Police sources say collapsed building leased to 2 PG operators in 2025
• Owner illegally added floors, weakening structure
• CM announces Rs 5 lakh aid for injured, compensation pending

Mahesh Gupta, who looked after the maintenance of the collapsed building in Delhi's Satya Niketan on behalf of his parents, told police that he had leased it to two business partners, Shubham Tyagi and Sudhanshu, in August 2025.

The duo subsequently ran the premises as a boys' PG accommodation under the name Hostel Daze. While Sudhanshu has been arrested, Tyagi is currently on the run.

On Monday, Hariram Gupta, his wife Urmila and their son Mahesh were arrested. While the couple were sent to 14 days' judicial custody, Mahesh, 52, was remanded to police custody for two days.

The five-storey building in densely populated Satya Niketan, a popular residential hub for students because of its proximity to Delhi University’s South Campus, came crashing down on Sunday afternoon. Seven people -- five students and two labourers -- were killed in the collapse, while five others were rescued.

As per the FIR, owners, Hariram and his brother had illegally constructed additional floors in the decades-old building for rental income.

The additional construction, however, put pressure on the existing structure and the owners knew its foundation could not bear the extra load.

The basement had also been undergoing repairs for eight to 10 days after waste and water accumulated there following days of heavy rain. The ground floor was also reportedly being repaired for an extension for commercial purposes.

Police are also examining a rent agreement issued to occupants of the PG.

According to a police source, the agreement stated that the PG operators would not be responsible for any “casualties or risk” to tenants.

The agreement also states the hostel would not be liable to pay compensation for personal injury, loss or damage to belongings caused by circumstances beyond its control, including sealing, fire, earthquake and heavy rain.

Meanwhile, a labour contractor has also been arrested from Kasganj in Uttar Pradesh in connection with the case. Police said he was on his way to Delhi for questioning over construction and repair work carried out at the building.

On Tuesday, Chief Minister Rekha Gupta visited AIIMS Trauma Centre and met families of students affected by the collapse. She announced financial assistance of Rs 5 lakh each for those injured in the tragedy.

AIIMS said four patients had been admitted, of whom two were discharged after treatment. While one remains admitted in the ICU and is in critical condition, the fourth person is stable.

The compensation for the families of those who died will be announced soon, sources in the Chief Minister's office said.

The Chief Minister has also directed the municipal corporation to conduct a safety review of PGs across Delhi, including checks of building safety, requisite permissions, Fire Safety NOCs and structural stability certificates.

The tragedy has triggered concern among students living in the South Campus area over the safety of PG accommodations, as well as high rents and cramped living conditions.

Education Minister Ashish Sood said the government would introduce a policy and a web portal within 30-45 days to regulate PGs and coaching institutes. The proposed portal would include details of PG accommodations, their availability, facilities and safety norms.

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