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The accused stabbed the victim "four to five times in his chest" and fled the scene.
Ian Jones, a charity worker from Britain, had been living in India for the past few months.
After the child was dragged away, the grandmother alerted the villagers who in turn informed the forest department. Officials arrived at the scene and faced protests by the villagers who accused them of slow response.
The victim's family demands immediate arrest of the perpetrators.
Police arrived at the home after receiving complaints from the 53-year-old woman’s neighbors that she was throwing garbage outside her window.
The rescue operation involved at least 50 officials from the forest department, the fire and rescue services and the local police.
The man's wife and three other relatives were arrested in connection with the incident.
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"She was found dead on Wednesday morning. A suicide note, which recounted her grief over the irreparable loss and pain over the dog's death, was recovered," a police officer said.
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