NCLT Admits 'Sip On' Maker Manpasand Beverages To Insolvency Over ₹25 Crore Dues

The National Company Law Tribunal (NCLT) at Ahmedabad has admitted Manpasand Beverages Limited, the maker of the popular mango drink Sip On, into corporate insolvency proceedings on a plea by iits packaging partner Tetra Pak India Private Limited.

The plea was admitted over unpaid dues of more than Rs 25 crore for the supply of packaging material, machinery and related services provided by Tetra Pak to Manpasand under multiple agreements.

A coram of Judicial Member Chitra Hankare and Technical Member Dr. V.G. Venkata Chalapathy held that Manpasand's defence that a partial payment made in 2020 amounted to a “full and final settlement” was not credible and appeared to be an afterthought.

The tribunal noted that the company had, in fact, acknowledged its liability in written correspondence exchanged after the insolvency petition was filed.

Owing to a long-term relationship, Tetra Pak supplied packaging material and machinery to Manpasand under a Standard Packaging Material Supply Agreement signed in January 2012 and fourteen separate Equipment Sale Agreements executed between 2012 and 2017.

Under these arrangements, Manpasand was expected to pay within a strict timeline. However, according to the tribunal, Manpasand began defaulting on payments from April 2018 onwards.

Despite several demand notices issued in June and July 2019, the dues were not cleared. Manpasand initially cited ongoing GST search and seizure proceedings and the custody of its authorised personnel as the reason for the delay and sought time to pay the dues. No payment followed, prompting Tetra Pak to approach the tribunal.

Manpasand opposed the admission of the case on several grounds. It argued that the insolvency petition was defective because it clubbed claims arising from different agreements. It also alleged long-standing disputes over sub-standard material and delays, claimed a counter-claim of Rs 13.59 crore, and asserted that payments of Rs 1.60 crore made between January and March 2020 constituted a full settlement.

The tribunal rejected these objections. It noted that the specific dispute regarding “price support” was raised only on November 6, 2019, a day after the insolvency petition was filed. On the issue of multiple agreements, the tribunal held that the transactions were “intrinsically interconnected” and involved the same parties, making a single petition maintainable.

Referring to Manpasand's own letters dated January 16, 2020, the tribunal pointed out that the company had expressly agreed that insolvency proceedings would continue until full payment was made. “It is observed that though the respondent has raised many issues, however, it has failed to state that why the respondent has made an admission,” the tribunal said.

It added that the disputes raised were “frivolous and an afterthought.”

The tribunal admitted the petition, appointed Darshan Bharatbhai Patel as the Interim Resolution Professional, and declared a moratorium under Section 14 of the IBC.

Case Title: Tetra-Pak India Private Limited v. Manpasand Beverages Limited

Case Number: CP(IB) 812 of 2019

Citation: 2026 LLBiz NCLT (AHM) 56

For Applicant: Advocates Parth Shah and Ritwika Nanda

For Respondent: Advocate Yash Dadhich