A YORK web design business has gone into liquidation after credit card fraud left it hundreds of thousands of pounds in debt.

WebMania was left with £250,000 of debt when it went into liquidation, including owing £44,133 in redundancy claims, £21,672 to business creditors and £119,453 to HM Revenue and Customs.

Andy Clay, director at Begbies Traynor’s York office, which has been appointed liquidator, said: “WebMania saw sales falling and tried to reduce costs. Sales began to improve and the director thought the business was recovering, but in fact it had become a victim of third party fraudulent credit card transactions which were subsequently reclaimed by the merchant providers, severely damaging cash flow.”