Penang police chief, Datuk Abdul Rahim Hanafi said the two men in their 30s and 40s disappeared after their photographs were published in the press recently, the newspaper reports. They are suspected to be hiding out in another area of Malaysia.
Since early this year, 18 murder cases involving Myanmar nationals have been reported in Penang.
The authorities say that initially the bodies of the murdered men were wrapped in white cloth and left by the roadside. However, since last month, the victims were dismembered and their body parts dumped in several locations in the state, the newspaper reports.
The grisly murders are believed to be as a result of a spillover of communal tension from Myanmar, which has seen serious clashes in Rakhine State in 2012 and occasional outbreaks in towns in the centre of the country.