Fire gutted a settlement in Rangali Municipality-3 of Morang district on Saturday.

Twenty-two houses of the Santhal settlement were burned to the ground after an inferno raged through the colony at noon, said Deputy Superintendent of Police Rajan Dahal.

According to eyewitness Rabindra Thakuri, the fire started after sparks from electrical wires, which ran over the settlement, fell on the straw-thatched roofs of the houses following a short circuit.

However, police say the reason for the fire is yet to be ascertained.

The locals had previously brought the situation under control after a similar incident had occurred.

The damage estimate of the incident is yet to be determined, Dahal added.