The Morongo Band of Mission Indians have decided to withdraw a proposal which sought to create an exclusive right for the California Tribal Intrastate Internet Poker Consortium to offer online poker to California residents.

The proposal had faced stiff opposition from other native American tribes who saw it as a threat to their existing casino operations, as well as from free-market advocates who argued against the creation of a monopoly system.

The final setback for the Morongo Band came when California Senate Leader, Darrel Steinberg, ruled out the prospect of passing the bill in the current legislative session which ends Friday.

The Morongo Band announced the withdrawal of the proposal Tuesday, saying that they would seek to address the numerous concerns raised before possibly submitting a new proposal in 2010.