Police in India say the large quantity of explosives recovered from a car on Thursday was to meant be used in an attack by militants in Delhi.
The car was carrying more than 5kg (11lb) of explosives and was found outside a railway station in Haryana.
Police said the Pakistan-based militant group Lashkar-e-Taiba and the Indian Babbar Khalsa International were planning to use it.
They said the attack was timed ahead of the upcoming Diwali festival.
Sixteen people were killed and 76 others were injured in a bomb attack on the high court in Delhi last month.
Delhi police official Arun Kampani told reporters officers they had received intelligence that Lashkar-e-Taiba militants in Indian-administered Kashmir had planned to "strike in Delhi" with the help of the Babbar Khalsa International (BKI), a group said to be active in Indian Punjab.
"Investigations were done and found that the explosives were meant for BKI and to be used in Delhi," Mr Kampani said.
The "exchange" of explosives was planned in Ambala, when the police received information on the car, he said.
No arrests have been made so far, and it is still unclear who drove the car to the car park at Ambala railway station.
Detonators, timer devices and batteries were also recovered from the vehicle, officials say.
Indian intelligence agencies believe Babbar Khalsa has the backing of Pakistan's spy agency, Inter Services Intelligence (ISI).
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