The man who owned the bird was slashed in the groin by the knife as the animal got away. He died on his way to hospital from a loss of blood.
Police are searching for 15 others who were involved in the event, which took place in the village of Lothunur in southern India early this week.
The runaway rooster was captured and held at a police station before being taken to a farm.
Local police said the owner attempted to catch the bird but was struck by a 7cm-long blade which had been attached to the rooster’s leg.
Those involved in the fight face charges including manslaughter, illegal betting, and hosting a cockfight.
Police officer B Jeevan said the bird would be presented in court as evidence at a later date, reports The New Indian Express.
Cockfighting was banned in India in 1960 but events are still relatively common in rural areas, often scheduled for around the Hindu festival of Sankranti.
Injuries or even death from roosters is not unknown. Last year a man in Andhra Pradesh died after being hit in the neck by a knife attached to his rooster. In October, a police chief was killed by a fighting cock during a raid in the Philippines.
