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5 year oldGalveston Police Chief Vernon Hale said on Monday the technique was acceptable in some scenarios, but that "officers showed poor judgment in this instance".
He said there was no "malicious intent" and has changed department policy to "prevent the use of this technique".
Many people on social media said the photo evoked images of the slavery era.
According to a news release from the Galveston Police Department, the two mounted officers, named only as P Brosch and A Smith, arrested Donald Neely for criminal trespass.
The officers were taking Mr Neely to a police staging area. Police clarified that he was not tied with the rope, but "was handcuffed and a line was clipped to the handcuffs".
The department added: "We understand the negative perception of this action and believe it is most appropriate to cease the use of this technique."
Mr Hale apologised to Mr Neely for the "unnecessary embarrassment".
He added the officers "could have waited for a transport unit at the location of the arrest".
"We have immediately changed the policy to prevent the use of this technique and will review all mounted training and procedures for more appropriate methods," the police chief said.
Mr Neely is free on bond but could not be reached for comment, the Houston Chronicle reported.
Leon Phillips, director of the Galveston County Coalition for Justice, told the BBC the image that went viral on social media was taken by an individual who wished to remain anonymous.
Mr Phillips said the incident is "difficult to talk about" as a Galveston resident.
"This was a stupid mistake," he said. "What I do know is that if it was a white man, there's no way they would have done that to him."
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