At least 12 people, including four women, were killed in a stampede during a religious gathering in Madhya Pradesh's Ratlam district early Saturday, an official said.
Chehallum is observed after 40 days of Muharram by a Muslim sect at Hussain Tekri in Ratlam district, 300 km from Bhopal.
Thousands take part in the annual congregation.
Unlike in the past, a single gate was erected leading to a fire oven on which faithfuls walk. A number of people tried to enter it, resulting in the stampede.
Chief minister Shivraj Singh Chouhan announced Rs. 1 lakh compensation to the kin of those killed. He ordered an inquiry into the incident.
Ratlam collector Rajendra Kumar Sharma announced Rs. 10,000 compensation for those killed and Rs. 5,000 for the injured.