Some people ignored the cancellation and ventured out, it is understood.
A police spokesman last night said Mr Hawke was wearing a lifejacket but it was not inflated.
A combined search effort between members of the Wanaka Yacht Club, Wanaka Police, Wanaka Coastguard and Land SAR members combed the waters of Roys Bay until night fall night in a effort to find the missing man's body.
Sergeant Nicholson said given the time that has elapsed since Mr Hawke was last seen, there was little hope of survival in such cold waters.
He said Mr Hawke's family had been "shocked" when told of the accident, and were grieving at the news.
Police will continue with a sonar search today, focusing on the area he was last seen.
The force will consider the use of the Police Dive Squad to try to recover the body.