The police tweeted that officers are "searching for 3 white male suspects."
Late yesterday police heard "the sound of multiple shots fired in the area" one block north of the Minneapolis Police Department's Fourth Precinct, the agency said in a statement.
"Shortly after, numerous 911 calls came in reporting that five people had been shot," the department said.
Police confirmed on Twitter that "5 people shot near 4th PCT, transported to hospital with non-life threatening injuries."
The alleged hate crime has sent shocked waves among
Indian-American and the Indian community across the United States.
"Our thoughts and prayers are with the family and friends of Srinivas Kuchibhotla," said Jay Kansara, director of Government Relations at Hindu American Foundation.
"We are also praying for a speedy recovery for the injured. We call upon the US Department of Justice and local law enforcement to investigate this murder as what it is, a hate crime.
"Anything less will be an injustice to the victims and their families," he said.
"It is these acts of heroism in our communities that make America great," he said.
A GoFundMe page has also been set up to help raise funds for sending Kuchibhotla's remains to India.
The shooting incident comes at a time when hate crimes and acts of bigotry have risen notably during the recent months in America.
A Jewish cemetery was vandalised in St Louis, Missouri last week and the offices of Jewish civil society organisations have received bomb threats.
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