The police say the woman was arrested for theft and an investigation has been ordered into the matter. The chief of the concerned police station has been transferred.
The woman, who worked as a domestic help, was arrested on April 30. Her employers had accused her of stealing gold ornaments.
"They broke my arms and legs on the fourth day, stripped me, put chilli powder and inserted a beer bottle into my private parts," she said. The police, she alleged, had kept her illegally confined for a week and even arrested and tortured her husband.
The woman has undergone a medical examination on the instructions of a Jammu court, which she had approached later.
State police chief SP Vaid told NDTV an inquiry has been ordered into the matter and the chief of the concerned police station has been moved out. The police chief said he came to know of the incident on May 2 and immediately ordered and inquiry and shifted the woman to a women's police station.
"During investigation, some gold ornaments were recovered, he said. The woman was arrested and "kept in police lock-up under the guard of women police personnel".
Activists say the police violated the law by not shifting her to the women's wing immediately after the arrest. "A woman can't be kept in a police station. It is a total violation of the law", said advocate Anil Bandral.