Vishay Handa (31), Director of Oakwood Premier Hotel in suburban Juhu, was arrested under relevant sections of Narcotic Drugs and Psychotropic Substances Act, police said.
110 gms of cocaine and 64 gms of charas had been recovered from the premises during the raid, police said.
"All those who were detained last night during the rave party, where ear-shattering music was being played, were allowed to go after their blood and urine samples were taken," a police officer involved in the investigation told PTI.
"Among those who were let off include two IPL cricketers Wayne Parnell and leg-spinner Rahul Sharma of Pune Warriors India)," the officer said.
"The blood and urine samples were sent to Cooper and JJ hospitals to examine if those present had consumed drugs," he said, adding the results were expected within a fortnight.
The details of the those present at the party, including passports and telephone numbers, were verified and an undertaking obtained from them that they would cooperate with the police before being allowed to go.
More From This Section
Handa was produced before a magistrate who sent him in police remand till May 25.
Police told the court that Handa was the key person in organising the rave party, attended by mainly youngsters and foreign nationals.
Seeking Handa's remand, police said they want to interrogate him in connection with supplying drugs to the patrons.
Meanwhile, claiming Handa's innocence his counsel B K Ashok said his client was just a manager at the hotel and drugs were found on the floor of the premises and not from his possession.
"My client was not in possession of the banned substances which were recovered from the floor. He therefore cannot be booked under the law," Ashok said.
Among those present at the rave party were television actress Shilpa Agnihotri, her husband and 19 foreigners, police said. (More)