Police said the 30-year-old victim was found dead at a private Engineering college at Pottapalayam.
Enquiries revealed that the married man, a relative of the inspector's wife, was having an illicit relationship with her.
The man had visited her house near Madurai on Jan 29 when two male relatives of the inspector were in the house. He was attacked and done to death.
They later took his body in the Inspector's car and had dumped it in the college campus, police said.
Police said the deceased has two daughters. Though he is settled in Chennai, he used to come to this town frequently, they said.
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