The daughter of former NSW premier Neville Wran has been arrested in connection with an investigation into the stabbing murder of a small-time drug dealer at Redfern on Sunday night.
Harriet Wran was picked up by police with another man at Liverpool late this afternoon. She is being interviewed by police.
The stabbing victim was Daniel John McNulty, 48, who died at a unit block on Walker Street, Redfern, on Sunday evening
Emergency services were called to the unit block about 7.45pm, but Mr McNulty died from his injuries.
A second man, aged 42, was also stabbed multiple times during the altercation and was taken to hospital.
Following investigations, a red hatchback was found at about 3pm Wednesday in Waterloo, police said.
Police have already charged a 29-year-old man, Lloyd Haines, with Mr McNulty's murder.
He was also charged with attempted murder and aggravated break and enter. He appeared at Parramatta court today and was formally refused bail.
Police said in a statement on Wednesday they had arrested another man, aged 35, and a woman over the fatal stabbing. The woman was 26-year-old Harriet Wran, Fairfax Media has learned.
The man was taken to Liverpool police station and Ms Wran was taken to Cabramatta, where they were both assisting police with their inquiries.
Detectives went to Ms Wran's Woollahra home on Wednesday but no one was there.
A senior police source said Harriet Wran had alleged links to Sydney's drug world.
Mr Wran, who was Labor premier from 1976 to 1986, died on April 20 this year.
A close friend of the family said Ms Wran had been dating an architect in her early 20s but after the relationship ended, she had become involved with a bikie.
She had been wearing long sleeves at her father's funeral in May because she had tattoos on both her arms, the friend, who did not want to be named, said.
"I would be very surprised if Neville had any idea," the friend said.
Ms Wran's Facebook page states she is studying modern history at the University of Sydney.