Pol Lt Col ML Sanya Suksawat, Deputy Chief of Investigation at Karon Police, confirmed that officers received a report at 3:22am.
The victim, 31-year-old Russian tourist Zelimkhan Iusupov told police that earlier last night, at about 11pm, an unidentified foreign man forced his way into his room at the hotel, located near the Kata Night Market.
According to Mr Iusupov, the assailant physically assaulted and threatened him before tying him up.
The attacker then made a phone call, connecting Mr Iusupov to another foreign man. During the call, the second individual allegedly demanded US$20,000 in cash, threatening to kill Mr Iusupov if he did not comply.
Fearing for his life, Mr Iusupov indicated to the intruder that the money was in his bag. The assailant then searched the room, taking an estimated US$700 in cash before fleeing the scene.
After the assailant had left, Mr Iusupov managed to free himself and reported the crime to the police.
Police are investigating the incident and working to identify the suspect.
Authorities have urged anyone with information about the case to come forward to assist in the ongoing investigation.