Hundreds of people were injured when fire ripped through crowds at a party at Formosa Water Park outside Taiwan’s capital Taipei.

Saturday’s incident at the Formosa Water Park is believed to have happened when a colored powder ignited after being discharged onto the crowd.

Footage showed people panicking and screaming. Inflatable water toys were shown being used as stretchers.

According to authorities, More than 500 people were injured with 190 being seriously hurt – 182 are in intensive care.

Some of them breathed in the powder, causing respiratory problems.

Local media said organizers of the Color Play Asia event had been taken in for questioning by prosecutors.

Footage of the incident shows a party in full swing when suddenly fire erupts.

The fire was quickly brought under control, but the cause of the incident is still under investigation.

The authorities believe something that caught fire caused the colored powder spray or dust – used to create a party atmosphere – to explode.

The substance is also used in other countries. It is made of dried corn and can be highly flammable.

The 519 victims were sent to 41 hospitals, and 413 are still in hospital, say municipal authorities.

The incident occurred about 20:30 local time. More than 1,000 people were near the stage at the time.

The fire department said: “Our initial understanding is this explosion and fire… was caused by the powder spray. It could have been due to the heat of the lights on the stage.”

Many people flocked to water parks on June 27 as temperatures reached 98F in Taipei and as high as 100F in other parts of Taiwan.

New Taipei City’s mayor, Eric Chu, ordered an immediate shutdown of the water park pending an investigation.