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The 50-year-old actor had checked into the hotel, located in the heart of the city, on December 19 for a serial shooting project, police added.
He was last seen two days ago by the hotel staff outside his room, a senior police officer said.
Repeated calls from the hotel staff and the serial crew went unanswered, prompting them to inform the police.
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The death is believed to have occurred two days ago.
According to the post-mortem report, the cause of death was internal bleeding, possibly resulting from a head injury after a fall, police said.
The actor had also reportedly been suffering from liver-related health issues, police added.
In addition to his work in serials, Shankar also played notable roles in several films.