It is suspected that greed for property was the cause behind the murders.
Rabindranath Patra, his mother Rina, wife Sumita and daughter Rini were hacked to death at their Nagarukhra Bazar home on the night of April 16.
The bodies were discovered next morning by Rabindranath's married sister who stayed nearby and used to visit her mother frequently, the source said.
The police today arrested Jyotindranath and his tenant Palash Haldar, who is a promoter by profession.
The sources said Jyotindranath and Palash probably had an eye on the land on which Rabindranath's house stood.
