Markets remained closed and members of the Gujjar community held a demonstration at the LBS college, where the statue was found damaged yesterday, demanding suspension of the college principal and arrest of the culprits.
They threatened to sit on an indefinite dharna if no action was taken till tomorrow evening.
The state government declared that the two government colleges in the town will remain closed for two days.
A new statue of the late leader will arrive here tonight, an official said.
As tension prevailed in the town, four companies (4000 personnel) of state police have been deployed, police said, adding some persons have been rounded up for questioning.
ASP Vineet Bansal told reporters that FSL squad has been called to collect finger prints and foot prints near the statue.
