iptables is not actually meant to deny services, just deal with packets going from some address/port to some address/port, acceptnig, rejecting and denying them, possibly logging and forwarding etc.
I can't say about tcp wrappers, but surely if you want to stop a service, there are better ways than just blocking it. Or if you want to deny the service from a certain ip address, then you could use iptables..consider iptables as a firewall packed with forwarding, masquerading and logging capabilities..and more. Then if you know what tcp wrapper (?) can do, you know which one you need, if either one.
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