Wellington, Feb 1 NZPA - The Auckland taxi driver apparently killed over a $20 fare suffered "horrific" stab wounds to his neck and chest, a witness who rushed to the dying man says.

Police are still hunting for a man seen running from the scene about the time of the attack.

Hiren Mohini, 39, a driver for Auckland Co-Op Taxis, was believed to have picked up the man from the central city about 1.20am, just minutes before crashing into a tree in View Road in suburban Mt Eden.

Witnesses saw a man running in the direction of Esplanade Road about the time of the crash.

Police were trying to locate him and establish his identity, Detective Senior Sergeant Hywel Jones said.

He was described as a slim, dark-skinned man in his mid to late twenties, approximately 1.74m tall. He had long, greasy wavy or curly hair, which was swept back from his forehead.

He was wearing dark jeans, black shoes, a long-sleeved shirt and carrying a black bag with a strap.

Police were checking central Auckland security cameras for footage of the passenger.

One of the first people on the scene, Adam Couper, said he heard a loud thud and rushed across the road, where he saw the car rammed up against the fence.

"One of my flatmates was in there trying to help, moved his head back so he could breathe but there wasn't much we could do," he told the New Zealand Herald.

Mr Couper said Mr Mohini's injuries were horrific.

"He had a knife wound to his neck as well as a pretty good stab to his chest. He was bleeding pretty profusely and there was blood all over the door."

Other neighbours tried desperately to staunch Mr Mohini's wounds with teatowels while they waited the five or six minutes for the ambulance to arrive, a period that felt like an "eternity", Mr Couper said.

A post mortem yesterday has confirmed Mr Mohini died from the stab wound to his chest.

View Rd resident James McDaid was almost asleep when the taxi crashed.

By the time he reached the cab, Mr Mohini was lapsing in and out of consciousness and ambulance staff were attempting to stem the bleeding.

"I know he was still alive when they removed him from the car into the ambulance, but he died quickly. He was dead before the ambulance could even leave," he told The Dominion Post.

Another neighbour, Andrew Strickett, was woken by yelling.

"I heard really loud screaming. The man who must have done the stabbing was standing right by my hedge yelling. After the argument the taxi took off, its tyres were squealing, then it crashed into the tree and everything went quiet."

Many taxi drivers rushed to the scene when Mr Mohini hit a panic button, however when they arrived ambulance staff were already there performing CPR.

The killing has renewed calls for increased safety measures for taxi drivers.

NZ Taxi Federation executive director Tim Reddish said it was up to the Government to ensure security cameras were installed in all cabs.

Transport Minister Steven Joyce said he would call a meeting of taxi industry representatives to discuss safety improvement options.

Mr Mohini leaves a wife and two daughters, aged five and two.