It means bookings made with the firm, Abta Y6145, since 12 December 2020 will not be protected by Abta.
Cardiff-based Leisuretime confirmed on Friday (25 March) it had been forced to call it a day owing to the impact of Covid travel restrictions on its ability to recover from the crisis.
The Leisuretime brand, though, could yet be saved, with talks ongoing over plans to revive the name under new ownership following the failure of Leisure Time (Wales) Limited.
"We are sorry to inform you that Leisure Time (Wales) Ltd has ceased trading with effect from 25 March 2022," confirmed Abta.
"Please note that Leisure Time (Wales) Ltd has not been an Abta member since 11 December 2020 and holiday bookings made after this date will not be protected by Abta."
The association added the majority of travel arrangements booked by Leisure Time (Wales) Limited were non-flight packages.
"If you booked a non-flight package holiday prior to 11 December 2020 through Leisure Time (Wales) Ltd, you may be protected by Abta or by your credit or debit card issuer," said Abta.
The firm operated under the trading names Leisuretime, The Coach Holidays Shop and The Short Break Shop.