It came on the same evening as eight children were rushed to hospital when a 30ft giant inflatable slide collapsed at a fireworks event in Woking.
Witnesses reported hearing screams when one of the Tea Cups came loose from the ride just after 5pm yesterday.
Dee Sturgees, from Kent, said: "We were waiting to go on the Tea Cup ride but it kept stopping unexpectedly.
"We decided to move on to the next stall and play hook a duck instead. Thank god we did as a few minutes later I heard screams and turned to see one of the Tea Cups had come loose from the ride and was spinning unattached through the air and into the crowd of people standing around that ride.
"We ran over through the crowd, who mostly were just standing frozen, to find children under the tea cup and screaming parents.
"Some guys lifted the cup off the kids and my husband Michael pulled out a young girl who was in the cup who couldn’t move.
"We kept her still and covered her with my coat as she was shaking and going into shock. She had hit her head and hurt her neck. There was a mum with a very young toddler who was knocked under the cup who was hysterically screaming.
"I asked the ride attendant what has happened and he said it looked like the bolt had sheared off that attached the cup onto the ride."
Kent Police attended the incident and minor injuries were reported.
In a statement Leeds Castle said: "We can confirm that an incident occurred yesterday evening before the fireworks event involving a low-level fairground ride falling from its revolving platform.
"As with any event of this size, Leeds Castle has a full team of paramedics on site who arrived within moments of the report of the incident, the ride being but fifty yards from the medical station, as did Leeds Castle’s Chief Executive and Health & Safety Officer who had both been in the control room when the incident was reported.
"Whilst the incident was attended by Kent Police, no other emergency service was called upon and Kent Police departed the site satisfied with the immediate response.
"Three people were directly involved and, while understandably shocked, none sustained significant physically injury and were able to watch the full fireworks display.
"The fireworks evening was attended by 8,500 people and, other than the fairground accident, there were no other incidents. The display will go ahead again this evening."
Chief Executive Sir David Steel said the "low-level teacup ride" was "operated by an independent contractor that (we have) used many times before". He said it had passed a safety inspection in September.
He added: "Two girls got up from the incident and walked away, the third was in shock but not injured. They all watched the fireworks from the paramedics tent."
In response to that, Joanna Brandon wrote on Facebook: "Leeds Castle shame on you…the girls that were in the tea cup, one being my niece, along with their families did NOT see any of the fireworks.
"It's disgusting that you have made it look as though they just got up and were all fine and carried on with their evening."
The ride has been taken out of service and all the other rides at the funfair will be checked again ahead of tonight's display, organisers said.
In the separate incident at the Woking Fireworks, Surrey Police declared a "major incident" when multiple children fell from the "giant inflatable slide" at about 7.30pm yesterday.
Seven of the eight children, all aged under 16, have been discharged following the incident in Woking, Surrey.
One boy was kept in for overnight observations but suffered injuries "not thought to be significant", police said.
The investigation into the incident is now with the Health and Safety Executive.
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