An Auckland wheel-clamping company, which last year was accused of bullying, has gone into liquidation after being unable to keep up with debts and is likely to leave some creditors out-of-pocket.
NZ Wheel Clamping Company stirred controversy last July for charging people $100 for parking for under two minutes in a carpark opposite a Mt Roskill School.
At the time Labour MP Phil Goff said the company was using "enforcement as a money-making racket" and was "fleecing people who can ill-afford it".
The company said it was within its rights to make people pay the fees.
NZ Wheel Clamping - co-owned by Gordon Ward and Perrine Busby - was put into voluntary liquidation on Tuesday.
According to an initial report, filed with the Companies Office and prepared by liquidator Rachel Mason-Thomas, the clamping firm stopped trading at the end of February.
"The liquidators are advised that after a drastic reduction in business, the company was unable to keep current with its debts. The decision was therefore taken to place the company in liquidation," Mason-Thomas said.
The report said the company owed Inland Revenue $160,947 and unsecured creditors, including ANZ and ASB Bank, $71,752. The liquidation is expected to be completed within three months.