Government on Thursday chose not to comment on reports of Gujarat Chief Minister BJP's Narendra Modi's name cropping up during interrogation of former minister Amit Shah by CBI in the Sohrabuddin Sheikh fake encounter case.

"The issue is distressing for any democracy... thus one should be extra cautious about what one does or says. It should be seen that we don't overstep the law of the land. Supervision of Supreme Court is the highest... as public figures, we cannot comment in such cases," Union Minister Salman Khurshid told reporters outside Parliament.

The government is not responding as the issue is an extremely volatile one and could lead to country-wide protests.

The Minority Affairs Minister was reacting to a question on Modi's name reportedly cropping up during former junior Home minister Amit Shah's interrogation.

Asked if Modi should also be questioned as he was the Home Minister when the fake encounter took place, Rajiv Shukla, AICC co-ordinator for Gujarat, said, "CBI is carrying out an in-depth investigation in the case and you should wait for the inquiry to be completed."

The investigating agency has so far arrested Shah, IPS officer Abhay Chudasama and owners of Arham farm Rajendra Jirawala in the case.

CBI had interrogated Shah inside the Sabarmati jail on Wednesday.