Earlier Lonar Crater Lake water was green colored due to presence of green pigmented algae, and suddenly, it changed to pink/red by growing of pink/red pigmented organisms on the surface of the water. There are two reasons for the water of the crater to look pink/red colored i) halophilic bacteria (salts loving) and halophilic archaea suggested by Dr. Kanekar (scientist) and Dr. Khadse (scientist) (NEERI), ii) Fungus which survives on decaying organic matter this study. The news appeared in the newspaper Lokmat dated 11-6-2020, stating that the water of Lonar Crater Lake turned pink/red. As per Dr. Kanekar (scientist), the organisms that grows on highly saline nature of water body is responsible for the pink/red color, which grows on high salt content water body or field land, which are called as per Dr. Kanekar, the salt loving microorganisms names of those microorganisms are halophilic bacteria and halophilic archaea, which are similar to dunaliella salina (found in saline lakes), due to high evaporation, the water of the lake decreased and the concentration of the salts (NaCl) increased, These microorganisms survive where saline lakes exist. These organisms are photosynthetic organisms and have ability to produce large amount of carotenoid pigment which imparted pink coloration to the Lake water. As per Dr. Khadse (scientist), due to high evaporation, water level decreased and concentration of salts (NaCl) increased, due to which certain microorganisms such as halophilic bacteria and halophilic archaea (salt loving) similar to dunaleilla salina, found in saline lakes, capable to produce red pigmented carotenoid increased and the water looked pink/red color, they are similar to green algae, which are photosynthetic organisms. Our postulation or our assumption is that or it is of the opinion that the crater lake, being highly eutrophic, fungus growth may be possible on dead debris and decaying organic matter and pink color of growing fungus may have spread over the surface, which may have imparted pink/red color to the water body. Fungus is capable to produce pink red coloration. Since the first observation of the appearance of red pigmented algal bloom were observed on 9th November, 2019, by the authors of this paper as brownish pink coloration amidst the green algae on a large scale, and when the news about pink coloration of the lake first appeared in Lokmat dated 11-6-2020, it was felt necessary to study this phenomena in detail about the cause and the reasons for the pink coloration of the lake. This paper concentrates on fungus, which grows on dead debris of aquatic life. On the basis of earlier studies by different researchers, and the present situation of Lake, to search the answers to the questions, why the lake water looked pink/red colored, what are the causes and the reasons behind this phenonmena? A detailed study was conducted and is reported and discussed in detail of the whole phenomena in this paper. Being of preliminary investigations, a small attempt has been made to search the answers to the above questions.