The Muri Express, on way to Jammu Tawi, derailed between Sirathu and Atsarai railway stations and one of its bogies overturned, Chief PRO North Central Railway Vijay Kumar said.
Three persons were killed in the incident, Railways spokesperson Anil Saxena said in New Delhi. He, however, pegged the number of those injured at four.
The Commissioner, Railway Safety, will conduct the inquiry to ascertain the cause of derailment.
While Rs 2 lakh will be given to the kin of the passenger who died, Rs 50,000 will be given for serious injury and Rs 20,000 for minor injury, he said.
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The woman killed in the incident has been identified as Sita (40) from Hatiya in Bihar, SP Railways, Allahabad, R K Bharadwaj said.
S-3 bogey the woman was travelling in overturned. 20 ambulances from Allahabad and Fatehpur have been deployed for rescue operations, he said.
NCR PRO Amit Malviya said accurate information on deaths and injuries were awaited at zonal headquarters.
Relief and medical teams have been rushed to the site. Senior officers of police, district administration and railways have also reached there, the IG said.
A train has been sent from Allahabad to ferry stranded passengers, he added.
The derailment affected train traffic. At least three trains were cancelled, a number of others diverted and 170 passenger and freight trains along the Allhabad-Kanpur route delayed.
"Both up and down lines have been affected by the derailment. As a result, the Allahabad-Kanpur Intercity Express and the Sangam Express, scheduled to leave for Meerut this evening, have been cancelled.