Thiruvananthapuram | A 48-year-old woman, who went missing two days ago, was allegedly murdered and buried by her neighbour over a financial dispute in nearby Panachumoodu, police said on Sunday.

The shocking incident was reported under Vellarada police station limit here.

According to police, the family members of Priyamvada lodged a missing complaint on June 13.

An investigation was launched soon after and the accused identified as Vinod, was taken into custody on Sunday morning.

Vinod, a neighbour of the deceased had a financial dispute with her.

A major breakthrough in the case came after the accused's mother-in-law confided in a local priest that her grand daughter had seen a woman's body under the bed in their house, sources said.

During the interrogation, the accused confessed to killing Priyamvada and burying her in a pit later.

The interrogation is still continuing and his arrest would be recorded soon, police added.