Police have charged a man with three counts of murder after he allegedly set fire to a boarding house in Sydney's inner west early Tuesday morning.
Three people died inside Vajda House in Newtown, which was allegedly doused with an accelerant and ignited about 1am on Tuesday.
Richard Hotoran was last night arrested at Surry Hills police station following inquiries by detectives.
The 45-year-old was questioned before being charged with three murders and one count of destroying property by fire or explosion.
Mr Hotoran chose to remain in his police cell when his case was briefly heard before Central Local Court on Wednesday.
No application for bail was made and bail was formally refused.
Court documents allege Mr Hotoran "did murder person unknown believed to be Pankaj Kumar" and two others "unidentified".
He is due back in court on May 12.
Outside court, Mr Hotoran's lawyer, Adam Ly, said a decision had not been made yet on a plea.
"I'm not sure what he'll be pleading at this stage. It's very early in the investigation," Mr Ly said.
Police confirmed Mr Hotoran was a recent resident of the boarding house he allegedly set fire to.
"The exactness of when he may have departed is not before me at the moment but these are things that the investigation will be exploring," Assistant Commissioner Peter Cotter said.
Only one of the three bodies has been recovered from the property on the corner of Probert and Albermarle streets.
Fears over the building's structural integrity have prevented the retrieval of the other two bodies.
Assistant Commissioner Cotter said police intended to repatriate the bodies when investigators re-enter the boarding house.
State Crime Commander Darren Bennett said more bodies may yet be lying undiscovered in the charred building, after several residents were trapped inside by intense flames.
"We’re confirming the identities of the deceased and we’re worried there could be more," he said.
Chief Superintendent Bennett said Mr Hotoran was arrested after an "interaction" with police officers who came to suspect him of involvement in the blaze.
Police were yet to determine a motive for the alleged act, he said.
It will be alleged a witness told officers she saw a man running shirtless from Vajda House shortly before an explosion ignited the inferno.
Investigators have seized a fuel canister dumped under a car near the property, which is meant to be a safe refuge for those looking to rebuild their lives.
Sources have told the ABC the evidence is considered “crucial”, with homicide and the arson squad investigating a fire they believe was “maliciously lit”.
Two people remain in hospital while one other person has been released.
Five people managed to escape the blaze unscathed.
An 80-year-old man called Ronnie is believed to have jumped from the first floor to escape the inferno.
Unable to walk and covered in blood, locals had to carry him to safety until paramedics arrived.
He was taken in an ambulance to Royal North Shore Hospital, where he remains in a critical condition.