District Deputy Commissioner Kumud Chandra Kalita told PTI that the order was issued after tension prevailed after a house was set ablaze by unidentified persons around 9.30 PM.
"A panic situation was created among the people after news of the fire spread forcing thousands of them to come out on the streets despite curfew to flee from their homes," official sources said.
Kalita said that the army, Rapid Action Force, CRPF were out to control the situation.
Superintendent of Police Pradip Chandra Saloi said there was not injury or casualty reported so far.
Indefinite curfew was imposed in the town this evening after escalation of tension here following two rounds of clashes between two groups at Jogamaya Ghat and Indira Gandhi Road areas following the desecration of a place of worship yesterday.