The ex-lover of Khandalyce's mother's alleged killer has left an Adelaide police station after speaking with officers for several hours.
Hazel Passmore, former lover of Daniel James Holdom, was pictured with a lawyer and Major Crime detectives this afternoon.
Holdom, 41, has been charged with the murder of Khandalyce's 20-year-old mother Karlie Pearce-Stevenson, five years after her remains were found dumped in Belanglo State Forest, south of Sydney, in December 2008.
BREAKING: @7NewsAdelaide Person of interest in Karlie Pearce-Stevenson murder investigation, Hazel Passmore, has entered city police station— Andrea Nicolas (@AndreaLNicolas) October 30, 2015
Haunting photos also emerged of Khandalyce on Ms Passmore's Facebook page - which has since been disabled - in August 2008 showing Khandalyce at a car show in the Northern Territory with Ms Passmore's family.
Ms Passmore is now alleged to have been involved in a fraud syndicate that facilitated the transfer of up to $100,000 from the bank account of murdered mum Karlie between 2008 and 2012.
Police say investigations into the death of two-year-old Khandalyce are "rapidly evolving", however charges for her horrific death remain unlaid.
Khandalyce's remains were found inside a weathered suitcase in July this year in Wynarka in SA, more than 1000 kilometres where from her mother's remains were discovered in 2010.
- UPDATES: Alleged murderer had relationship with suspect in Karlie Pearce-Stevenson's identity fraud
- Murder case 'moving quickly
- Amazing likeness as ‘Angel’ identified
In one chilling photo, Khandalyce is pictured standing alongside Ms Passmore's deceased son Ryan.
Pearce-Stevenson's injuries have been identified as being "consistent with being stomped on" due to the extreme violence suffered to her ribs and upper body, The Daily Telegraph reported.
It has also been revealed that two of Ms Passmore's children were killed in a car crash when Mr Holdom was at the wheel.
Ms Passmore was left paralysed and is confined to a wheelchair. It is believed that as Ms Passmore recovered in hospital, Holdom began a romantic relationship with Ms Pearce-Stevenson before he allegedly murdered her.
Earlier this week police revealed Ms Pearce-Stevenson's identity, bank account and mobile phone were used for years after her death to mislead family and defraud social services.
SA Police also revealed a woman in a wheelchair had impersonated Ms Pearce-Stevenson at an interview with Centrelink in Adelaide in 2010.
It's estimated up to $100,000 was taken from the murdered mum's bank account between late 2008 and March 2012.