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Police sources said Jolly killed Sily as she hated her and she wanted to marry her husband Shaju.
Annamma's diary, which had the details of money transactions and gold ornaments, too had gone missing after her death.
In a statement to the police that he said that Sily lost her consciousness after drinking the water offered by Jolly.
A day after it came to light that the crucial records on the death of Roy Thomas, one of the six victims of the Koodathayi serial killings, were not provided to the magistrate court at Thamarassery, the Kozhikode District Collector intervened to fast-track it.
'I had signed the power of attorney thinking that the advocate was offering free legal advice,' Jolly told reporters.
It is hard to ignore the similarities between silver screen's Baby and Jolly Joseph, the prime suspect in the Koodathayi serial murder case.
The probe team had found that Jolly had given cyanide-coated pill to Sily at a dental hospital in Thamarassery.
Jolly had reportedly told police that she had mixed cyanide in alcohol to kill Mathew, who was the uncle of her first husband Roy.
The police found a lot of photos of Jolly with the woman when they checked Jolly's mobile phone. However, Jolly refused to divulge any details about this woman.
The police custody was extended after the investigators submitted that they wanted to take the three accused to several places including Coimbatore from where one is suspected to have bought the cyanide used to kill five people.