It has been learnt that the gruesome incident surfaced on Thursday after the little girl returned home from school, bleeding and unwell.
A doctor confirmed that she had been sexually assaulted.
The child’s family alleged that the assault was going on for few days, but the child did not told her parents out of fear.
But on Thursday, the girl narrated the entire incident to her mother when the latter asked her the reason.
The parents also alleged, the girl told them that other children were similarly assaulted by the owners, whom she referred as ‘Bhaiyya’ and ‘Didi’.
"She had been vomiting for three days. She is also getting an infection... she told us that the 'bhaiyya' had attacked her and he had done it to her friends too," the child's grandmother is quoted by media as saying.
Reacting to this, angry local residents raided the play school on Friday morning.
The alleged assaulter, owner of the school was badly beaten up by the parents and other protesters.
The owner, identified as Vikas, has been arrested and charged with rape under a stringent law on sexual crimes against children.
Later he was produced before a city court that sent him to Tihar Jail.
The rest of the family that owns the school is missing.