Theme park bosses who were given more than $2.7million (£1.5million) in government cash to build a koala research company "redirected" the money to erect a high-speed rollercoaster instead.
The move, which has angered environmentalists, was given the go-ahead by Queensland's tourism and innovation minister, Stirling Hinchcliffe.
He said the government gave the go-ahead for the repurposing, citing a need to bolster international and local tourism in the region due to the impact of coronavirus.