Visitors enjoy a ride at BDA City Centre

Bhubaneswar, July 25: The development authority has formed a multi-disciplinary committee to probe allegations of steep entry fee collection and non-sharing of profits by a private operator that is running a popular park jointly with it for almost seven years.

Officials have received several petitions in the first week of July about high entry fee and also about the fact that despite making profits, the private company managing the amusement park is not sharing its benefits with the project’s official partner.

Amiya Pandav, convener of social service organisation Ama Adhikar, alleged that despite the private operator earning money by raising the entry fee and using land for events such parties and marriages, the Bhubaneswar Development Authority (BDA) was not getting its promised share of the profit.

Secretary of the Bhubaneswar Development Authority Ranjan Das said: “A panel has been formed with members from finance, planning, land, legal, enforcement and engineering wings to probe into the details and file a report.”

The amusement park was earlier known as BDA-Nicco Park under the aegis of BDA-Nicco Park and Resorts Limited, which was formed on December 12, 1998. However, the venture later ran into rough weathers and the Nicco Group pulled out of the project.

In 2007, the development authority floated a tender and selected Suntech City Private Limited as its partner and the park was named as BDA City Centre. It has Suntech with 51 per cent and the authority with 49 per cent share.

Earlier, there was a boating facility at the city centre, but due to the damage to the lake wall (formed over a drainage channel), the facility is no longer available.

“The park authorities could not maintain the lake. Besides, they developed five community centres to organise social gatherings and functions and made money. But, they never shared the profits with the development authority. They have also opened a restaurant on the premises and are collecting parking fees,” said a senior official.

Last December, a BDA official gave a report on an unused land of more than four acres lying near the park. He had suggested immediate possession of the patch apprehending criminal activities or unauthorised occupation.

An official of the private firm said: “In an era of price rise, the cost of electricity, maintenance and addition of new rides cost us much more. The entry fee was Rs 25 in 1998 when there were only 10 rides, but now there are 19 free rides for Rs 150.”

He, however, said that on special occasions, students, who visit the park in groups, are permitted entry at Rs 50 per head.

On the operation of community centres and marriage mandaps, the official said: “The fifth mandap has been closed due to its proximity to Sachivalay Marg as it was causing traffic problem. On a single day, we are getting permission to use only three mandaps at one go. However, the fees collected from parking are being shared with the municipal corporation authority on a 50:50 basis.”

The official also said that despite all efforts the venture was yet to make a profit margin to be shared with its parent partner, the development authority.

Vice-chairman of the authority Krishan Kumar said: “If our probe unearths serious irregularities and concealment of facts, we will initiate stern action.” Asked about the BDA’s long silence despite not getting any returns from the project, Kumar said: “I came across the complaints only this month and have initiated immediate steps. I cannot comment on what happened in the past.’’

Insiders, however, said files containing the agreement were no longer available with the BDA.