Besides its historic and religious significance, the festival is linked to the well-being and prosperity of locals. It also promotes tourism and trade.
It is believed that on this day, the Katoch ruler would put aside his royalty and mingle with the masses.
A tank in the royal palace was filled with coloured water and Sansar Chand would kick off the celebrations by splashing it on his queens and relatives.
Legend has it that Sansar Chand would take the form of Lord Krishna and his wife Rani Suketki would transform into Radha when they played Holi.