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He was 68.
The artist had suffered a severe heart attack and was admitted to a private hospital in Thane where he died on Sunday night, his family members said.
He was the eldest son of legendary musician Pandit Ram Marathe.
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He was highly respected for his expertise in harmonium and melodious singing, and actively participated in various programmes held this year, marking the birth centenary of his father.
In collaboration with his younger brother Mukund Marathe, Pandit Sanjay Marathe revived and staged the famous Marathi musical play ‘Sangeet Mandarmala’ as part of the centenary commemoration of their father.
The production received widespread acclaim for its innovative experiments while preserving the essence of the traditional Marathi musical theatre.
Pandit Sanjay Marathe is survived by his wife, a son and granddaughter.