The defence ministry has sought explanation from Major General IS Singha for allegedly violating the army code of conduct, which does not allow soldiers to make political statements of any kind.
The issue was Singha's praise for Gujarat chief minister Narendra Modi on Monday.
At the inauguration of the three-day "Know Your Army" exhibition, Singha had said: "Modi has all the qualities of a successful army commander. His programmes are aimed at development of both the state and the nation and he works in disciplined way."
Singha went on to say: "I would like to request the chief minister to provide land to the army for setting up housing welfare societies for ex-servicemen in Ahmedabad. Such schemes are available in all other states but not in Gujarat."
A source in the Golden Katar division, to which Singha belongs, said: "His explanation has been sought because officials of the armed forces don't praise or criticise any political functionary, (in accordance with) the army's decorum."
Singha praised Modi and his government also for the developmental work and welfare schemes the state had introduced under his chief ministership.
"Like in the Army, he (Modi) keeps deadlines for completing work, and ensures that the target is achieved by the set time," he added.