The bid to transfer the management of Sri Lanka's Mattala International Airport to an Indo-Russian joint venture has faced significant legal hurdles and is likely to be abandoned. High level sources reveal that the Sri Lankan authorities are reportedly unwilling to grant the necessary license due to legal obstacles, acording to the Daily Mirror. 

The Daily Mirror published that the previous government agreed to manage the airport through a partnership between India's Shaurya Aeronautics Pvt Ltd and Russia's Airports of Regions. However, the proposed agreement was referred to the Attorney General for clearance. According to the Civil Aviation Authority Act, only Airport and Aviation Services (Pvt) Ltd (AASL) has the authority to manage the country's airports.

The source further points out that Sri Lanka is reluctant to hand over the control of Mattala to a foreign agency. Additionally, the joint venture company has shown little interest in moving forward with the project in recent months with no communication with the Sri Lankan authorities, the news report said.

In light of these developments, the source confirmed that the commercial agreement is now considered a "non-event". It is expected that the new government formed after the next general election will decide on an alternative development model for the airport.

Mattala Airport, located near the Chinese-built Hambantota port, was built with Chinese financial assistance and has faced challenges in attracting significant international traffic since its opening.