The violence sparked off during a "Julus-e-mohammadi" procession in Mohraba village of Nanpara area after some persons allegedly damaged a place of worship, police said.
Tension erupted in the area as members of the other community strongly objected the move, according to police.
While five persons, including a policeman, were injured in the stone-pelting, three houses and two four wheelers were also damaged in the incident, sources said.
Those involved in the incident also induldged in arsoning but police did not elaborate the details of the damage, they said.
Heavy force has been deployed in the area where tension is still prevailing, sources said.