A clamping firm which was registered in Chatham has been wound up for not paying thousands in taxes.

The amount owed by Approved Parking Services, trading from Victoria House, 14 New Road Avenue, is believed to come to £281,934.

But company owner Craig Reade claimed the amount is much less.

A petition to wind up the clampers was made by HM Revenue and Customs and was agreed by the Royal Courts of Justice on March 26.

Confirming the business owed a six figue sum, a revenue spokesman said: "When a company owes such a substantial amount of money and doesn't pay up after we have asked it to do so over period of time, then we consider it insolvent."

A spokesman for the Official Receiver's Office said: "I can confirm that a winding up order was made in the High Court against Approved Parking Services Ltd."

Mr Reade, from East Malling, confirmed the insolvency order, but said it was confusion over VAT arrangements that was at the heart of the case.

He runs two other clamping firms and said sites in Maidstone previously patrolled by Approved Parking Services would transfer to his other companies.

He said: "Around three years ago, we were told not to collect VAT on clamps, so we didn't. Around a year ago the VAT man said we should have collected it and they wanted it all, backdated.

"Limited companies go bust all the time, and I know of other clamping firms this will affect."

The Kent Messenger put the £281,934 figure to Mr Reade. He said the amount owed in VAT was "much less", but declined to say what the figure was.

Approved Parking Services pounced on lorry driver John Button two minutes after he turned up to deliver to the Heart of Kent Hospice shop in Starnes Court, off Union Street, Maidstone, demanding £250 for release.

Lorry driver John Button, who was clamped making a delivery to the hospice shop said: "It's good they've been wound up.

"It just goes to show that before you start coming down on other people you should remember to follow the rules."

Have you been clamped by Approved Parking Services? Leave a comment below, email medwaymessenger@thekmgroup.co.uk or call 01634227803