Restrictions were imposed in Budgam town, 15 kms from here, and adjoining areas as a precautionary measure due to apprehension of law and order problem, a police official said.
The official refused to elaborate on the nature of apprehensions.
However, sources said the authorities were apprehensive that the function organised by the NC MLA could lead to clashes between his supporters and those of separatist leader Aga Syed Hassan.
Hassan is president of the Anjuman-e-Shari-e-Shian, a powerful political outfit of the Shias and a constituent of Hurriyat Conference.
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Mehdi, who was a Congress leader, was killed in a blast triggered by militants at Kanihama Baramulla district on November 3, 2000. Mehdi's driver and four personnel security guards were also killed in the blast.
A National Conference spokesman claimed that Roohullah, who represents Budgam constituency in the state assembly, has been placed under house arrest.
"Senior NC leader and MLA Budgam @RuhullahMehdi put under house arrest to prevent him from observing his father's death anniversary function," Junaiz Azim Mattu said.
"Why does this Mufti Govt feel threatened by a person marking his father's death anniversary?" he asked.