An Indian-origin woman was found dead in Australia while her husband, who is suspected to have killed her, fled to the Indian city of Hyderabad with their son.

According to reports, the body of Chaithanya Madhagani, 36, was found in a wheelie bin on Mount Pollock Road, close to Buckley town.

Chaithanya Madhagani and her husband Ashok Raj Varikuppala, both now Australian citizens, lived in Australia with their son.

Sources told The New Indian Express that Ashok had killed Swetha and fled to India with their son. He confessed the crime to Swetha's parents.

Swetha's parents, while devastated, are hesitant to press charges against Ashok due to their grandchild, the newspaper reported.

Meanwhile, Victoria Police said in a statement: "Homicide Squad detectives are investigating after a deceased person was located in Buckley, near Winchelsea, this afternoon."

"A second crime scene has been established at a residential address on Mirka Way, Point Cook and is believed to be connected to the homicide," the statement said.

Police said investigators are treating the death as suspicious.

"At this stage in the investigation, it is believed the parties involved are known to one another and the offender may have fled overseas," police said.

Chaithanya Madhagani's neighbours described her as 'very friendly'.

Praveen Kumar Thopucherla, executive chairperson of the Melbourne Telanganga Forum, told ABC News Madhagani was very active in the community, and regularly attended events.

"We are not able to digest this. It is too far to think or even imagine," he said.

A neighbour, who did not want to be named, told ABC News she was "very lovely, very outgoing and friendly".