The United Progressive Alliance government has neatly sidestepped the controversy in India over the implications of the Hyde Act passed by U S Congress last year.

The government is sticking to its line that the 123 Agreement will proceed on the basis of the assurances held out by the Bush administration, rather than paying heed to the controversial provisions of the Hyde Act

The past three days' negotiations over the civil nuclear cooperation agreement, known as the 123 Agreement, between India and US in New Delhi have remained on track but few issues have still been left out.

Significantly, Foreign Secretary Shiv Shankar Menon went out of the way to clarify the government's line on the controversial Hyde Act.

He said, "The US administration has assured the UPA government that nothing in the Hyde Act prevents them from implementing their obligations under the 18th July and 2nd March joint statements."

"Our task is to reduce these understandings into a legal agreement. So far, we are well on the way to doing so," Menon added.

He emphasised, "Actually, we are close to doing so. When we finish that task, we will be able to confirm to you whether or not anything in the Hyde Act prevents the US administration from fulfilling its obligations under these two joint statements. That is the position today."

Menon repeatedly said, "Our job is to reflect these understandings in the 123 Agreement."

He summed up, "So far, we have been assured that nothing prevents the US from fulfilling their obligations."

Menon told the media that both sides still have 'some distance to travel'.

Under Secretary of State Nicholas Burns ended his three-day visit after a courtesy call on Prime Minister Manmohan Singh.

In the last three days Burns also met Brajesh Mishra, a harsh critic of the nuclear deal with the US, and Jaswant Singh.

When Mishra was asked to comment on his discussions with Burns, however, he told rediff.com, "My meeting with Burns was confidential."

However, MEA sources said that Burns apprised the BJP leaders of the level of progress made so far and also about the issues which are under discussion on the table.

The bilateral talks and the negotiations over the 123 Agreement are certain to pick up further when Secretary of State Condoleezza Rice visits India. Menon said Mukherjee has extended an invitation to Rice to visit India, when Burns called on him on Friday.

Menon stressed that he was satisfied with the last three days' discussions, but both sides have agreed to not talk about the solved or unsolved issue in the press.

Menon reiterated that the negotiations kept in view the 18 July, 2005 agreement, and Dr Singh's statement in Parliament on the nuclear issue.

As regards the slow progress of the negotiations he pointed out that it was for the first time that the two countries were negotiating such an agreement, and, therefore, it would take time.

When asked if the Indian nuclear scientists are taking a tough stand, making it difficult for Indian diplomats to close the deal, official sources pointed out that the presence of Dr R B Grover at the press conference alongside the External Affairs Ministry officials would clearly indicate that the nuclear scientists are very much part of the negotiating team.

External Affairs Minister Pranab Mukherjee also highlighted that, "There is no question of a deadlock."

He expressed optimism that 'things will come through'.

When asked why there was no joint press conference by Menon and Burns, Menon said that Burns had a flight to catch.

It is apparent that the Indian government is quietly drawing satisfaction from the fact that the 123 Agreement is very much on track. Not surprisingly, the officials seem to downplay the substantial progress in the past three days' negotiations.

It is expected that the next step for the government would be to take the political leaders of the BJP and the Left parties into confidence.