the idea of the Olympic torch came was first inaugurated on the 1928 Olympic games in Amsterdam. the design of the Los Angeles coliseum was also included a facility of a large flame. there wasn't any torch relay in the ancient Olympics. However there were known to do other torch relays in other ancient Greek festivals:http://usd316.k12.ks.us/projectfolder/Niki2002/Olympics/modernolympics.html

the Olympic torch was first instituted in 1933: http://www.museum.upenn.edu/new/olympics/olympicorigins.shtml