Raju, 59, worked as a supplier of battery-operated lights to vegetable vendors for the weekly markets at Karpuripuram colony, they said.
Last night, he allegedly got into an argument with some vendors over the rent for the lights, Senior Superintendent of Police H N Singh said.
Raju was accompanied by his son, Mohsin, to the market when the argument broke out, the SSP said.
Soon the argument turned violent and Raju and Mohsin were stabbed. They were rushed to a hospital in Sanjay Nagar but Raju succumbed to the injuries midway. Mohsin was undergoing treatment at the hospital, the officer said.
Based on the complaint and initial probe, the police have arrested vendor Satyavir, his daughter Sunita and her daughter Komal, for their suspected involvement in the killing, he added.
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