Sol Kerzner, the South African tycoon and the chairman of Kerzner International, which owns the Atlantis hotel, reportedly said at the party:

“From the beginning, I have been working with my team to create places where people can escape their everyday lives. Atlantis, the Palm is the realization of a vision. ... Tonight was a landmark event.”

The marine-themed resort started hosting tourists in September. The hotel has a gigantic aquarium with 65,000 fish and a rare whale-shark, as well as a dolphinarium with more than two dozen bottlenose dolphins flown in from the Solomon Islands, not without protests from environmental activists. 

The two pale rose towers of the five-star hotel contain 1,539 rooms, including a three-bedroom, three-bathroom suite that features a gold-leaf, 18-seat dining table for $25,000 a night.

With its giant tower, lavish hotels and fancy malls, Dubai has become in few decades a Middle-East hub for business and tourism.

The local English-language daily, Khaleej Times, described the party’s atmosphere as dazzling: 

“Mesmerized guests, including A-list celebrities, watched in admiration and wonder as one of the largest display in world unfolded in front of their eyes. Many stood on chairs and took innumerable photos to capture the show that was both fascinating and extravagant.”

Reporters from Dubai’s Gulf News blogged live from the party until 3 a.m.:

“On a more surreal note, massive pink dragons and jellyfish are snaking (is that the right word??) through the crowds offering culinary delights from mega chefs Giorgio Locatello and Nobu Matsuhisa. Dozens of men are dressed as gladiators as the story of Atlantis is told (the legend that is, not the building of this hotel).”

The £950 million Atlantis hotel, which officially opens on Thursday, has been built by Sol Kerzner, a South African hotelier, on the Palm Jumeirah island in Dubai.

It boasts that its dolphin facility – Dolphin Bay – will be the first rescue and rehabilitation centre for injured or stranded dolphins in Dubai.

But the Whale and Dolphin Conservation Society (WDCS) has claimed that 24 bottlenose dolphins, used to stock the pools, were bought from a dealer in the Solomon Islands.

The WDCS claim that the dolphins, which had originally come from the waters surrounding the Solomon Islands, will now be used to entertain guests, who will be able to pay to swim with them. A 90-minute "shallow water interaction" experience with the dolphins costs visitors from around £75.

The row follows an order issued last month by the government of the United Arab Emirates to free a 13ft whale shark from a huge tank in the lobby of the 1,539-room hotel, after an international outcry.

Environmentalists claimed that the owners of the Atlantis hotel had disregarded international permit laws after capturing the shark in shallow waters off the Gulf coast in August and then used it as a display for hotel guests.

"It's outrageous and hypocritical that Atlantis is claiming to be committed to conservation and to have a rescue and rehabilitation centre when they have supported the trade in dolphins by buying these animals," said WDCS captivity campaigner, Cathy Williamson.

She added that life expectancy is shorter for animals in captivity and interaction with humans, such as the swimming with dolphin experiences offered at Dolphin Bay, puts the animals at risk of injury and infections.

Juan Vasquez, legal officer for CITES (the Convention on International Trade in Endangered Species of Wild Fauna and Flora), who looked at the legal issues surrounding the export of dolphins from the Solomon Islands, said that the species was not endangered but that for some people their export was an ethical issue.

A spokeswoman for Atlantis said it was entirely committed to the welfare of all marine life at the resort.

"The dolphins in residence at Dolphin Bay came from an existing facility in the Solomon Islands called the Solomon Islands Marine Mammal Education Centre. During the year they have been in residence in Dubai, two calves have been born, a sign of excellent acclimation and good health," she said.

"Dolphin Bay's 4.5 hectare lagoon maintains a covered and sound blocked area which was created to safeguard the animals from inclement weather. This area will be utilised during the Grand Opening evening for the assured safety and comfort of the animals."

Marine expert and author Tim Ecott has been investigating the dolphin trade for several years.

"The morality of captive dolphin encounters for tourists is complex. Strictly speaking this species is not endangered, and Atlantis invests a lot of money in giving them a high standard of veterinary care and welfare," he said.

"But people pay a lot of money to swim with dolphins – and this has generated a business in capturing and selling dolphins to places like Atlantis. It's up to tourists to decide whether they want to exploit an intelligent species in this way."

The row will cause further embarrassment to the resort owners ahead of the star-studded launch party tomorrow, which includes Oprah Winfrey, Robert DeNiro, Janet Jackson and the Duchess of York among its guests, as well as performances from singer Kylie Minogue.