I doubt that these are legit cylindrical lithium-ion cells.

It is either an Ultrafire, which just doesn’t go through quality control, and a lithium polymer cells, which don’t have as stringent testing as cylindrical cells.

The article is so sparse though.
No words on what kind of cells, what could have caused the damage to the cell first, and if it was a loose cell or a package that got punctured by something else.