Victoria's corruption watchdog is looking into claims of dodgy dealing at the Department of Transport.

The state’s anti-corruption agency, the Independent Broad-Based Anti-Corruption Commission, has launched an investigation after claims of corruption arose around contracts for transport infrastructure and railway car parks.

The inquiry has been given a name, Operation Fitzroy, and will focus on allegedly corrupt dealings between departmental staff and contractors on lucrative contracts for a number of projects.

Investigators are set to examine whether staff-members, or anyone linked to them, may have benefited from the awarding of the contracts between 2007 and 2013.

“The examinations will focus on one or more current and former employees, as well as the businesses contracts were awarded to,” IBAC’s statement said.

“This will include examining the tendering and selection process, any actual and potential financial benefits obtained by any such employees and members of their respective families and their associates, connected to [the Department of Transport and Public Transport Victoria] and the systems and controls in place at the DOT and PTV concerning procurement.”

IBAC will hold public hearings in July.