"Kundan Shah's contribution to alternate cinema is remarkable. His movies and television series are epic and will inspire generations to come," she said in a statement.
"Gandhi has expressed solidarity with the friends and members of family of Kundan Shah and prayed that his soul finds eternal peace," a statement from the Congress said.
Shah, best known for his dark satire "Jaane Bhi Do Yaaro" and coming-of-age comedy "Kabhi Haan Kabhi Naa", passed away at his residence in Mumbai early today. He was 69.
Shah died of a heart attack, a family member said.