The Congress and the Aam Aadmi Party will contest on three seats each of the seven constituencies in Delhi in this year's Lok Sabha polls and leave one for former Union minister and rebel BJP leader Yashwant Sinha, confirmed sources in both the parties. Sinha will contest as an independent candidate, DNA has learnt.

"Talks were going on for past three months and it has been decided that both parties will contest on three seats," a source in Delhi Congress said. "This irked state Congress president Ajay Maken and triggered his resignation from the post."

Maken was rebuilding the party hoping for a revival of the Congress that ruled Delhi for 15 years under Sheila Dikshit but suffered a huge setback when the Arvind Kejriwal-led AAP swept the assembly elections bagging 67 of 70 seats in 2015. The Congress was left without opening its account as the remaining three seats went to the BJP.

In the 2009 Lok Sabha elections, the Congress had won all the seven seats. In 2014, it was BJP's turn to do a clean sweep.

Sources said AAP will contest on South, East and North East constituencies. The party has also finalised the candidates— Dilip Pandey, Atishi Marlena and Raghav Chadha. Congress will fight it out in West, North West and Chandni Chowk, sources added.

Both parties, said sources, are also finalising a seat-sharing deal in three other states for Lok Sabha polls – Rajasthan, Haryana and Punjab.

Congress leaders declined to comment on the alliance. One leader, who did not wish to be named said ground workers, do not want to align with any political party. The party had earlier formed a committee headed by AK Antony to explore tie-ups. AAP did not respond to repeated calls and messages seeking their version.

Sources in AAP said that HS Phoolka, the lawyer who has become the face of the fight for justice for victims of 1984 anti-Sikh violence, resigned from the party as he was unhappy over the decision to strike a deal with Congress.