Michael Jackson Family -- Going After Dr. Murray's Money is POINTLESS!

Prosecutors will no longer seek more than $100 million in restitution from Dr. Conrad Murray at the request of Michael Jackson's family, because as the proverb goes ....you can't squeeze blood from a turnip.

A rep for the Los Angeles District Attorney's Office says prosecutors were informed that the Jackson family is giving up on restitution ... so the D.A. withdrew the request. As a result, the restitution hearing scheduled for Monday has been called off.

Murray -- who's serving a 4 year jail sentence for his role in the death of MJ -- is basically broke ... and now that his medical license has been revoked, it's unclear how he plans to earn money once he's released.