Chandigarh district magistrate V P Singh issued the notification stating there was a strong apprehension of massive protest which might lead to serious law and order situation, officials said here today.
The notification has also referred to the order issued by the Punjab government banning the release of the film in the state for two months.
The intelligence agencies in Punjab had expressed the apprehension that the explosive situation emerging after the release of the film could be exploited by the anti-national elements to disturb peace.
The Chandigarh administration stated that being the capital of Punjab, the city suffered from the same vulnerabilities.
Meanwhile, security has been stepped up outside cinema halls in neighbouring Panchkula, ahead of release of the film.
The film was recently banned for two months by Punjab government taking ground that it can create law and order problem.
Patrolling began outside multiplexes and cinemas in Panchkula to avoid any untoward incident, officials said.
The objection to the Punjabi film, based on the life of Guru Nanak, was first raised by radical outfit Dal Khalsa.
The film has been released in entire country and abroad today barring Punjab and Chandigarh.