Chief Minister Parkash Singh Badal in a statement described the incident as a "conspiracy aimed at inciting communal tension and destabilising the hard won peace in Punjab".
Badal said his government has also ordered a probe into the clash that followed the incident and assured people of "exemplary punishment" to the culprits.
The Chief Minister directed state police chief to constitute an SIT under ADGP (Crime) I P S Sahota along with DIG (Bathinda Range) R S Khattra and DIG (Ferozepur Range) Amar Singh Chahal to track down the culprits.
State Deputy Chief Minister Sukhbir Singh Badal announced a cash award of Rs 1 crore for information leading to the arrest of those who desecrated the holy book.
"Anyone having information about the incident should contact Bathinda Range DIG Ranbir Singh Khattra (mobile - 94172-13380)," he said in a statement, adding that the identity of the informer would be kept secret.