Professor Marty Cale, the Hall of Fame Director, announced the induction of Shetty, popularly known as 'Cheetah'.
The award ceremony was held at St Louis, Missouri Sheraton City Central Hall but Shetty could not attend and his master Richard Bustillo, who is a disciple of legendary Bruce Lee, received the award on behalf of the Indian.
Shetty has trained more than 100 Indian movie stars apart from a dozen international names besides providing training to thousands of women in self defence.
"It is a big honour, which I had never dreamt of. I am thankful to God that I was selected among hundreds of nominations. I dedicate this award to my parents and thousands of children who have trained with me," Shetty told PTI from Mumbai.
"I could not have done it without my master Richard Bustillo. The sad part is that I could not attend the programme because of short notice. I want to take martial art to a different level," Shetty said.