Washington  - Thomas Daschle on Tuesday withdrew his name from consideration as President Barack Obama's health secretary amid a tax scandal, dealing a significant blow to the new administration's efforts to reform health care in the United States.

Obama in a statement said he accepted Daschle's withdrawal with "sadness and regret." As late as Monday Obama had said he "absolutely" supported Daschle's nomination.

Washington  - Thomas Daschle has withdrawn his name from consideration as President Barack Obama's health secretary amid a tax scandal, a White House spokesman confirmed Tuesday.

Daschle apologized on Monday for his failure to pay more than 100,000 dollars in taxes and has since paid them back. Daschle, a former Senate majority leader, is a close friend of Obama's who co- chaired his presidential campaign.