On April 26, 1996, Musto reported rumors of Alig's involvement in Melendez's death in a blind item, in his Village Voice column. Although no names were used, Musto's reports included the details of the murder. Musto had previously reported on Alig's firing from The Limelight and noted the buzz about a missing club person. The following day, the New York Post's "Page Six" column ran a lead item about the murder mystery, citing Musto's reporting as well as a New York magazine piece quoting an evasive Alig. Over the coming weeks, the Village Voice continued to report and make accusations about Melendez's murder.
Through September 1996, the police still had not questioned Alig about the murder; they were focused on his business partner, Peter Gatien, wanting Alig to testify against him. Since several months had passed, many people believed Alig would get away with murdering Melendez, until children playing in the water pulled a box containing a legless torso from the waters of Oakwood Beach at Miller Field, in New Dorp, Staten Island. James St. James recounted how Melendez's brother was baffled by what he regarded as callous indifference by the police and by the scenesters Melendez had considered friends.
In November 1996, the coroner reported the body had been identified as Andre "Angel" Melendez. Alig fled New York, but was located by police in a motel room rented by his drug dealer boyfriend, Brian, in Toms River, New Jersey. Alig was arrested as was Riggs. Shortly after his arrest, Riggs confessed to police: