Kangana was reported to have been approached to play Dutt's wife Manyaata in the film, which will see Ranbir Kapoor playing the titular role. But the National Award winning actress has rebuffed it saying she was never offered the film.
"Sanjay Dutt's biopic hasn't been offered to me but I am in talks with Raju sir for another project where I play a comedian," Kangana said in a statement.
Hirani's other film is a love story.
Recently, Hirani shot with Kangana for an advertisement with cricketers Virat Kohli and MS Dhoni.
Photograph: Pradeep Bandekar