The man has been put under investigation for "irregularities related to the accident," The Star reported, citing Malaysian Tourism, Arts and Culture Minister Tiong King Sing.
Initial investigations showed the driver did not have a driving license and had 27 previous summonses for various traffic offences, The Straits Times reported.
On Saturday, the bus carrying 21 people -18 Chinese tourists and three Malaysians - was traveling downhill from Genting Highlands when the accident occurred.
Two Chinese men suffered head injuries and died on the spot, while others suffered minor injuries.
The travel agency responsible for arranging the tour is also being investigated and could be suspended if it is found failing to comply with standard operating procedures, authorities said.
The accident came at a time when Malaysia has been competing with regional rivals to attract Chinese tourists. It recently agreed to extend its visa exemption for Chinese nationals until the end of 2026.