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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
FORM 6-K
 
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
 
THROUGH JULY 25 , 2006

(Commission File No. 1-15256)
 
 
BRASIL TELECOM S.A.
(Exact name of Registrant as specified in its Charter)
 
BRAZIL TELECOM COMPANY
(Translation of Registrant's name into English)
 

SIA Sul, Área de Serviços Públicos, Lote D, Bloco B
Brasília, D.F., 71.215-000
Federative Republic of Brazil
(Address of Regristrant's principal executive offices)


Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.

Form 20-F ___X___ Form 40-F ______

Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation S-T Rule 101(b)(1)__.

Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation S-T Rule 101(b)(7)__.

Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under
the Securities Exchange Act of 1934.

Yes ______ No ___X___

If "Yes" is marked, indicated below the file number assigned to the
registrant in connection with Rule 12g3-2(b):

 


Investor Relations
(55 61) 415-1140 
ri@brasiltelecom.com.br 
www.brasiltelecom.com.br/ir/ 
 
Media Relations
(1 212) 983-1702 

ivette.almeida@annemcbride.com
 

 

 

 

 

Free Translation

BRASIL TELECOM S.A.
Publicly Traded Company
Corporate Taxpayer Registration CNPJ/MF Nº 76.535.764/0001 -43
Board of Trade NIRE 53 3 0000622 9

Brasil Telecom S.A. Clarifies CVM’s inquiry

In compliance with notice CVM/SEP/GEA-4/Nº 350/2006, issued by CVM – Brazilian Securities and Exchange Commission (Comissão de Valores Mobiliários) on July 25, 2006, regarding to the news disclosed on the same date in Jornal O Globo’s website, entitled “Telecom Italia hires JP Morgan to sell its share in Brasil Telecom”, as transcribed below:

“MILAN – Telecom Italia hired JP Morgan to sell its stake in the telecommunication operator Brasil Telecom, stated Marco Tronchetti Provera, the group chairman, on Tuesday.

Telecom Italia’s officer announced the action in a conference call with analysts. Telecom Italia also controls a mobile operator in Brazil, TIM.”

Brasil Telecom S.A. (“Company”) clarifies that the Company does not take part in eventual negotiations between the shareholders of its controlling block. The Company informs that it has requested clarifications to Telecom Italia, a shareholder in Brasil Telecom Participações’ controlling block, regarding the statements made in the abovementioned notice. As soon as such clarifications are received, the Company will complete this notice.

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SIGNATURE
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: July 25, 2006

 
BRASIL TELECOM S.A.
By:
/S/ Charles Laganá Putz
 
Name:   Charles Laganá Putz
Title:     Chief Financial Officer