Another inspector has been told to immediately stop issuing warrants of fitness, amid a spate of other suspensions across the country.
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Stephen Upson and his company Sunnybrae Auto Services, in the Auckland suburb of Northcote, was found to have allowed two unauthorised people to carry out issue warrants of fitness on his behalf.
The Transport agency said he had also failed to correctly identify issues with a vehicle's brakes, exhaust and steering.
In addition, the garage had some vehicle testing equipment which was either overdue for maintenance or broken.
The agency said it was not aware of any specific concerns relating to this business, however, it would be contacting all 747 affected vehicle owners.
Twenty inspectors or garages that issue warrants have so far been suspended - affecting more than 20,000 cars.