Hailey Dunbar-Blanchette’s grieving mother says she was once “close friends” with the man accused of killing the girl and her father, but the two fell out of touch.

Cheyenne Dunbar, 20, says she used to be friends with Derek Saretzky, 22, but the two haven't spoken for three years.

Saretzky was arrested on Tuesday and charged with two counts of first-degree murder and indignity to a body. The charges stem from the deaths of Dunbar's daughter and ex-boyfriend in Blairmore, Alta.

"We were great friends," Dunbar told reporters on Wednesday afternoon, after police announced the charges against Saretzky. "It tears me apart knowing friends would do something like that."

Hailey Dunbar-Blanchette, 2, was taken from her father's home at approximately 3:30 a.m. Monday, according to RCMP. Witnesses reported seeing a white van speeding away from the scene. Hailey's father, Terry Blanchette, 27, was found dead at the home by a family member.

Hailey's body was later found in a rural area outside Blairmore.

RCMP Supt. Tony Hamori announced the charges at a news conference in Blairmore on Wednesday.

"We have determined that Mr. Saretzky was an acquaintance of Terry Blanchette's," Hamori said.

Dunbar said she was not aware that Blanchette and Saretzky were acquainted. She and Blanchette had been in an "on-and-off" relationship for the sake of their daughter, and she had never been in a physical relationship with Saretzky, she said.

Dunbar is co-operating with police.

Hamori said police will not be releasing details about the scene where Hailey's body was found, "in the interest of the investigation."

Insp. Derek Williams added that police are still conducting "a number of searches" to gather evidence in the case. When asked if the suspect knew Hailey's mother, Williams said investigators are "still exploring" all possible connections.

Hailey had been the subject of an AMBER Alert after her abduction, as many hoped she might still be alive. That hope turned to heartbreak at a candlelight vigil in Blairmore late Tuesday, when the crowd learned Hailey was no longer missing, and had been found dead. Victim services informed those gathered at the candlelight vigil of the discovery, and shortly thereafter, police revealed the news at a news conference.

Alberta RCMP called off their wide-reaching AMBER Alert Tuesday evening.

On Wednesday, Hamori defended the use and timing of the RCMP's AMBER Alert, calling it a "critical tool" in the investigation, with certain criteria that must be met before it is issued. "AMBER Alert works and was critical to resolving this situation," he said, adding that it only took three hours to issue the alert.

A white van was also recovered in the investigation. Witnesses had reported seeing a white van with a large antenna speeding away from the Blanchette home around the time of Hailey's abduction.

Friends and neighbours said the father and daughter appeared to be a happy family who were often seen playing in the front yard of their home. One staffer at the restaurant where Blanchette worked said he was a devoted father who "lived for his little girl."

The girl's grandmother, Terry Lynn Dunbar, thanked her friends, family and community for their "outpouring of love and support," on Wednesday.

"The Dunbar and Blanchette families will be forever broken," she wrote on Facebook. "As a mother and grandmother my pain is unimaginable at the loss of my only grandchild in such a horrific manner."

She added that her heart "can't stop hurting" for the family Blanchette leaves behind.

Hamori thanked the community for all the help and support police received with their investigation, adding that the RCMP are committed to restoring the area's "small-town sense of safety and security."