Gupta, considered close to the ruling party, was removed last year from the post of industrial and infrastructure development commissioner but was brought back in administration seven months back.
Pushed to the wall over the Badaun incident, Gupta was blamed by the state government for mishandling the situation.
Opposition leaders, however, said officials like Chief Secretary Jawed Usmani and Gupta were made scapegoats to save Akhilesh Yadav.
"In case these officials are guilty, even the chief minister as the head of the state should put down his papers for failing to protect the women in Uttar Pradesh," said BJP state president Laxmikant Bajpayee.