The CIO is a seconded officer from the Malaysian Anti-Corruption Commission (MACC).

In a statement today, Prasarana said its board of directors had met on June 12 where they reaffirmed Prasarana’s commitment to uphold integrity in the group’s business transactions.

Prasarana, the statement said, had initiated efforts to reduce the cost of the LRT3 project, in addition to restructuring the LRT3 project management team from February.

Prasarana said its board had “instructed its senior leadership to report suspected anomalies, if any, for further investigations” by the CIO.

It also said it was happy that the finance ministry had agreed to continue with the LRT3 project.

Prasarana’s statement follows recent remarks by Finance Minister Lim Guan Eng that the LRT3 was a “mini 1MDB” as the real cost of the 37km-project, which links Klang and Petaling Jaya, was hidden.

The Cabinet had given the go-ahead for the continuation of the LRT3 project after reducing the final cost by 47% to RM16.63 billion. Lim had said this would enable the government to save a total of RM15.02 billion.

Prasarana on March 30 submitted its latest projected cost for the LRT3 project at RM31.65 billion.