Heineken Lanka Limited vs Ajith Putha Distributors (Pvt) Ltd – SC APPEAL 12/2023-2024

In Heineken Lanka Limited (formerly Asia Pacific Brewery (Lanka) Limited) v. Ajith Putha Distributors (Pvt) Ltd, the court addressed whether a letter [P-13] constituted a valid denial of a company debt and if the respondent’s stated dispute was genuine or an attempt to avoid payment. The findings established that [P-13] was issued in a personal capacity and not on behalf of the company, and thus did not amount to a valid denial. The decision resulted in the High Court’s order being set aside and a winding-up order being issued against the respondent. The ruling reaffirmed that only genuine and bona fide disputes by the debtor company could defeat a creditor’s winding-up petition, thereby strengthening safeguards against mere assertions used to avoid debt obligations.

K. Priyantha Fernando