Sources said the 31-year-old man was believed to have lured the grandmother to his single-storey terrace house in Jalan Menanti here on Monday.

"Once inside, the man, a suspected glue-sniffer, stabbed the woman in her chest with a sharp object.

"He also hit her several times on the head with a blunt object," the sources said.

The sources said the suspect then carried the woman's body back to her house about 20 metres away.

"The suspect returned to his house, doused himself with kerosene and then set himself ablaze.

"He was believed to have been high after sniffing glue when he set himself on fire."

State CID chief Assistant Commissioner of Police Mohd Zakaria Ahmad said the victim was identified as Leong Kim Lian (above, right), a cleaner at a beauty salon here.

He said Leong died from heavy blows to the head while the man, identified as Ooi Chin Lye (above, left), died due to excessive smoke inhalation.

He also suffered third degree burns.

Mohd Zakaria ruled out burglary.

The police forensic team arrived at the scene at 4.30am yesterday after being alerted by firemen who had responded to a call about 10 minutes earlier.

It is believed Ooi's screams had awakened neighbours who called the Alor Star fire station.

The woman was fully dressed when police found her body in the living room. There were no signs of sexual abuse.

The bodies were later sent to Sultanah Bahiyah Hospital mortuary for post-mortem.