Yup, the wife of the dead councilor (Esmeralda) you were sent to investigate. The orc librarian mentions the types of books she borrows, a chest containing her used underwear exists (with very interesting descriptions), a noble that isn't her husband that she met regularly at the inn and her blatantly flirting with one of her customers just hours after her husband's death. Many signs point to her being the town bicycle, or at least someone that enjoys being in the company of more than a few men.