This temple was built by the king (Krishnadevaraya) in 1513 AD to celebrate the conquest of the eastern kingdom of Udayagiri or Utkala (in the present day Orissa state).
The main idol installed in the temple was the figure of Balakrishna (Lord Krishna as infant). This idol is now displayed in the state museum at Chennai. A huge slab installed inside the courtyard of the temple states the story of this temple and the conquest of Ulkala.(hampi.in)