Bhubaneswar, Oct. 30: The development authority is planning to take over the BDA City Centre, a popular amusement park also known as the Nicco Park.

The decision to have exclusive rights over the land was taken following allegations of financial irregularities surfacing against the private agency that operate the park.

Spread over 24 acres, the amusement park, a first-of-its-kind in the city, is being operated by Sun Tech City Private Limited in collaboration with Bhubaneswar Development Authority (BDA).

Though the government agency has a share of 49 per cent in the project along with the private firm, the latter has not shared a single penny with the development authority since its inception.

The Telegraph had done a detailed story about the financial state of affairs of the park on July 24. Subsequently, an official committee of the development authority conducted a probe into the functioning of the park. The report revealed that “a vast stretch of land allotted to the private company is not being put to intended use. Further, complaints are received regarding its mismanagement”.

The government agency yesterday shot a letter to the general administration department urging it to cancel the agreement with the private company and take over the land allotted to it.

Krishan Kumar, vice-chairman of the development authority, also requested the special secretary of general administration department to devise an appropriate mechanism to ensure setting up “a world-class integrated entertainment complex for residents of the capital city.”

The Telegraph report had pointed out that the private party was collecting high entry fees, but was not sharing its profits with the development authority.

“We set up the internal committee to inquire into the private firm’s activities after several allegations were levelled against it. The committee report has revealed that there are a lot of irregularities in its functioning. Moreover, a vast stretch of land inside has not been put to intended use. We have informed the general administration department about it,” said Kumar.

The amusement park was earlier known as BDA-Nicco Park under the aegis of BDA-Nicco Park and Resorts Limited, which was formed in December, 1998.

However, the venture later ran into rough weathers and the Nicco Group pulled out of the project. In 2007, Sun Tech City Private Limited was chosen as its partner and the project was renamed as BDA City Centre. As per new arrangement, the development authority’s share is 48.80 per cent, Sun Tech’s share is 50.60 per cent and Nicco has a miniscule share of 0.6 per cent.

In the first week of July this year, officials of the development authority received several complaints about high entry fees.

There was a big lake inside the park with boating facility, but it is no longer available after the wall of the lake was damaged. It is also alleged that the private operator set up five community centres to hold social gatherings and functions and earned money, but has not repair the lake wall.

Besides the agency has also opened a restaurant and collect parking fees. Profits from these ventures are not shared with the Bhubaneswar development authority, sources said.

Contacted, the officials of the private firm said: “Despite providing around 20 rides, we collect only Rs 150 per person. Besides on certain special occasions students are permitted entry at Rs 50 per head, which is very nominal.” However, he kept mum on the allegations of financial irregualrities levelled against the firm.

The officials of the general administration department said that they would initiate action very soon.

Visitors said that the government must intiate step to restore the lost glory of the park. “There should be more rides for the people,” said Geetanjali Behera, a resident.