Kuala lumpur: Sunway Construction Group Bhd's shares on Bursa Malaysia experienced an increase in the early session today following news that the company and its subsidiaries were not implicated in an ongoing anti-graft investigation involving one of its employees. By 10.15 am, the share price rose by 10 sen to RM5.86, with a total of 1.85 million shares traded.

According to BERNAMA News Agency, RHB Investment Bank Bhd suggests that the latest update from the Malaysian Anti-Corruption Commission (MACC) might boost confidence in the group's rigorous mechanisms and systems designed to uphold anti-corruption compliance, as the current case is an isolated incident. The bank noted that Sunway Construction's adoption and certification of the ISO 37001 Anti-Bribery Management System (ABMS) illustrates its commitment to ethical business practices, which requires significant financial investment in system development. RHB Investment Bank anticipates that Sunway Construction will continue to refine its processes and internal controls.

On Tuesday, Sunway Construction announced that it had received official written confirmation from MACC, clarifying that the investigation's scope was limited to the personal conduct of the individual involved, confirming it was an isolated case. The MACC further stated that neither Sunway Construction nor its subsidiaries are under investigation under any provision of the MACC Act 2009.

Meanwhile, CGS International Securities Malaysia Sdn Bhd views this development as a positive catalyst, removing a significant overhang on the stock. The firm believes that Sunway Construction's strong brand equity and parent company could lead to more external construction opportunities.