The KCRC announced yesterday it had created a committee to oversee its auditor's investigation into the West Rail project after concerns were raised about the credibility of the probe.
The appointment of KPMG Peat Marwick to conduct the audit into 'extra payments' made to the project's contractors led to questions by legislators about a possible conflict of interest. KPMG is also the accounting firm used by Siemens, the telecommunications giant that received an extra payment of $100 million from the KCRC.
Michael Tien Puk-sun, chairman of the Kowloon-Canton Railway Corporation, said yesterday a steering committee comprising himself, a barrister, a professor, an accountant and a surveyor would monitor the probe.
'We feel that if we are going to put the public's mind at ease with this investigation, we need to accept the responsibility to complete it in eight weeks' time with credibility,' he said.
The steering committee would be able to accept or disagree with part of KPMG's findings and could recommend alternative actions to the KCRC managing board, he said. It would be up to the board to make final decisions on the way forward.
No previous board members were included in the new body and Mr Tien felt his presence would not compromise credibility as he was not on the old board.