The film follows an Indian Army officer sent undercover to find the culprit behind extremist attacks in Kashmir, where he is helped by the daughter of a separatist leader.

Vikram meets up with Aziza Abbas Ansari, her mentor, Haji Sayyed Shah, and aspiring political leader, Aatif Hussain.

Karisma Kapoor was finalised to play the female lead, but she opted out at the last minute because she feared shooting in the troubled Kashmir valley where a significant part was going to be shot.

[5] After her abrupt departure, producer Bunty Walia and director Rahul Dholakia asked Basu to arrive on the set on 4 January 2009 and that they would cast Vidya Balan as a replacement in case she does not comply.

Sukanya Verma of Rediff rated it 3/5 and said, "Ultimately, Lamhaa's relevance lies in its ability to give you an overview, even if it's a crammed one, about the ugliness of greed and intolerance through the example of Kashmir.

[15] Lamhaa was banned in Pakistan and all GCC countries like Saudi Arabia, Bahrain, Kuwait, Qatar, UAE and Oman.

UAE National Media Council Censorship Board felt that the content of the movie is highly objectionable and controversial.