A three-component domino [3+2] cyclization for the synthesis of new multi-functional fused pyrroles has been developed via reaction of heterocyclic ketene aminals (HKAs) 1 with arylglyoxal monohydrates 2 and 1,3-diphenylpropane-1,3-dione 3 under catalyst-free conditions in ethanol. In the one-step domino reaction, one C–N bond and two C–C bonds were formed and one C–C bond was cleaved. The established protocol is advantageous in providing excellent regioselectivity and concise one-pot methodology with the use of environmentally friendly solvents and readily available starting materials.