Telnet connection had been closed by a foreign host

The client PC IP: 10.49.46.5/24 and the server PC IP: 10.49.46.2/24 are two computers linked to the same network. When I try to create an interactive communication between these two computers using the command telnet, I get the following: [root@xxx:~]# telnet 10.49.46.2 Trying 10.49.46.2... Connected to 10.49.46.2. Escape character is '^]'. Connection closed by foreign host. [root@xxx:~]# The server xinetd.conf are as follows: defaults { instances = 60 log_type = SYSLOG authpriv log_on_success = HOST PID EXIT log_on_failure = HOST ATTEMPT cps = 25 30 } includedir /etc/xinetd.d The server telnet.config are as follows: service telnet { flags = REUSE socket_type = stream wait = no user = root server = /usr/sbin/telnetd log_on_failure += USERID instances = 10 disable = no } The TCPWrapper hosts.allow are: telnetd: /etc/telnetd.hosts tfdpd: /etc/tftpd.hosts sshd: /etc/sshd.hosts The TCPWrapper hosts.deny are: ALL:ALL NOW: 1. I checked ssh and it is running on port 22. 2. I checked /var/log/message and had found that the command xinetd starts and then exits the telnet immediately. 3. I checked that iptables do not drop telnet package using the command: iptables -L Would you please help me figure out what is the problem and how can I fix it?