New information has surfaced in the murder of a Vulcan senior.

Murder victim, 77-year-old Otto 'Bunty' Loose, had previously met his accused killer, Tim Engel, when the two men were in jail.

Loose was kidnapped from his home earlier this month.

His dismembered body was found in the woods on Saturday near the town of Claresholm.

Tim Engel is charged with first degree murder.

RCMP confirm Engel had met Loose in jail, when the retired farmer was briefly locked up over a dispute with his neighbour.

Engel is known to police and, at the time of Loose's murder, was under house arrest facing a list of unrelated charges.

Loose's family is left wondering why Engel was allowed to be at home instead of behind bars.

"How could they allow someone to be out, after all the charges that were laid," says Loose's daughter, Lavonda Justinick.

"It's an atrocity."