The infant's body, which was packed in a gunny bag, was being carried by a dog when it fell in the drain near the Ambala civil hospital here, police said.
Passersby noticed the body and informed the police.
There were injuries on the head of the deceased, police said, adding the corpse was taken to civil hospital for postmortem.
A clip on the abdomen of the infant was found which is generally tagged after the delivery and it indicates that the child was born in some private nursing home, police said.
The police said they would visit some of the nursing home of the city to get some clue in this regard.