A New Zealand man has been locked up in a "urine and flea infested" Bali jail after reportedly being arrested for attempted murder outside a popular nightclub.

Matty Isiah, a security guard, was leaving the Engine Room nightclub early on Sunday morning and struck a scooter driver while attempting to flag down a taxi, according to an Australian media report.

Ngaarda Media said the New Zealander claimed the incident was an accident but he was arrested and thrown in jail.

A co-worker of Isiah's, Regan Jhonson, said the incident was a misunderstanding.

"He came out of a nightclub to flag a taxi, he's put his arm out and a scooter's ridden up along the footpath and driven straight into his arm and straight away he was mobbed by locals because they thought he had hit the rider and then he was arrested. He's been arrested for attempted murder."

Jhonson said Kuta Police had requested US$7000 (NZ$10,638) for Isiah's release.

"Basically, they've given us until 3:30pm this afternoon to have that $10,000 in Bali or they are threatening to process him into prison," Jhonson said today.

Isiah, who is from New Zealand but lives in Western Australia, is understood to have been visiting Bali on holiday.

Isiah's mother, Wendy Clark, told Ngaarda Media she was very upset and looking for a lawyer who could help the family

"It is very distressing to see my son in a one-metre cell on the floor. There's urine and it's flea infested.

"He's not allowed a seat, he hasn't got a bed and I am not leaving Bali until I get my baby out of there," Clark said.

Jhonson had sent over $5000 to assist Isiah and was working on getting the rest before the 3.30pm deadline.

The Herald contacted the Ministry of Foreign Affairs and Trade tonight about Isiah's case. A spokesman said the New Zealand embassy in Jakarta was providing consular assistance.