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Police and Territorial Armed Constabulary (PAC) teams reached the premises and controlled the situation.
According to sources, tension broke out after a vehicle allegedly hit a student near Raja Ram Hostel.
When the students approached the security staff to complain, an argument broke out.
The dispute escalated and students allegedly started pelting stones near LD Guest House, causing damage to property.
There are unconfirmed reports of some students being injured.
Assistant Police Commissioner Gaurav Kumar said on Wednesday that the situation is now completely under control and no written complaint has been lodged so far by any party.