The blaze was reported from a car accessories shop in Lajpat Nagar-I at 3-30 pm in the basement, which spread to the upper floors. Eight fire tenders were rushed to douse the flames.
Sushila Puri (67) and her domestic help Rizwana Khatoon (30) were trapped inside the first floor of the building and after dousing the fire, they were rescued.
However at the hospital, Puri was declared brought dead, while Rizwana's condition was stated to be critical.
"There was a lot of smoke and it appears that the elderly woman and her help could not find a way out. The elderly woman died of asphyxia. Rizwana is critical," police said.
The cause of the fire is suspected to be short-circuit.