Google Inc.’s co-founder Larry Page’s dream to have the world’s 150 million or so books accessible to users of Google’s Web-search engine received another setback blow today at the hands of United States federal judge Denny Chin.

Judge Denny Chin rejected a 2008 settlement in a ruling filed in United States district court in Manhattan, where Google forged with author and publisher groups to make millions of books available online, reason being the Internet giant would gain the ability to “exploit” books without the permission of copyright owners, directly making Google a “legal pirate” of books.

“While the digitization of books and the creation of a universal digital library would benefit many,” Judge Chin wrote, Google’s current pact would “simply go too far.” The deal would “give Google a significant advantage over competitors, rewarding it for engaging in wholesale copying of copyrighted works without permission,” he said.

In his decision, Judge Chin also noted antitrust concerns related to the settlement, including that “would arguably give Google control over the search market” for books.

Google started to work with several libraries in late 2004 to scan and digitize books and other writings in their collections, and has said it has completed 10% of the effort

Google’s lawyers said that they will return to the discussion room for yet another ‘refined’ deal.