The inquiry into the floating armoury, which was suspected to have been used by former defence chief Gotabhaya Rajapaksa, has been dropped.
The CID informed the court it would not proceed with the case as per the instructions of the Attorney-General.
A magisterial inquiry into Avant Garde Maritime Services, a private firm, was established after police seized more than 3,000 weapons in 20 containers from containers, soon after the presidential elections in January.
Galle magistrate court had imposed a travel ban on former secretary of defence Gotabaya Rajapaksa and former navy commander and adviser of Avant Garde, Satilaka Dissanayake, but this was lifted in August.