Officials at ASI said they are worried that miscreants could damage the monuments and there are also chances of idols being stolen as it is hard to monitor the crowd.
The mini circle office of ASI located at Hampi has recently reportedly written to its head office in Delhi raising questions about the security of monuments, officials said.
Another source at ASI said the event should have been organised anywhere outside the Hampi site.
The authorities should consider creating a permanent place outside the Hampi to organise the Utsav, an official told PTI.
He also pointed out that using heavy power cables and movements of trucks for setting up stages could pose a threat to the monuments and inconvenience visitors who want to go around to see the monuuments.