According to police, Sathyam (48) along with his son Anvesh (7) and daughter Triveni (5) jumped into Chinatl Cheruvu in the town.
Police pulled out the bodies from the lake with the help of locals on Sunday. Sathyam is believed to have thrown the two children into the lake before jumping into the same lake to end his life.
Police suspect family problems led to the suicide. Sathyam was said to be depressed after his second wife left the home following an altercation with him and was staying with her parents.
Sathyam committed suicide with the children with his first wife.
In another incident, two persons died in a road accident in Jagtial district on Sunday. The accident occurred when a car in which four persons were travelling was hit by a bus of Telangana State Road Transport Corporation (TGSRTC).
According to police, the accident occurred on Dharur Road near Jagtial town.
Sankeerth, who was driving the vehicle, and a young woman sitting next to him were killed. Another person Rayamallu and his wife seated in the rear were critically injured. They were admitted to a government hospital in Jagtial.
Sankeerth and his parents were returning to Jagtial after attending the wedding of a relative in Jangaon. The deceased woman was their relative.
Police shifted the bodies of the deceased to a government hospital in Jagtial for autopsy.
One of the wheels TGSRTC bus belonging to Jagtial depot was found detached at the accident site. It was not clear if the accident occurred after the wheel came off or if it got detached due to a collision.
A police officer said they had registered a case and took up the investigation.