The arson is suspected to have been done to avenge the murder of a stone crusher unit owner two days ago.
The incident occurred around noon when most of the male members of the families were away from homes. The houses were reduced to ashes by the time fire tenders reached the place. Two tractors had also caught fire in the incident, police said.
The unidentified persons also hurled crude bombs at a police camps injuring at least three. Two camps were set up there following the murder of the stone crusher unit.
Sujit Biswal, the stone crusher unit owner, was killed by some unidentified persons two days ago.
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