     The phone wire is acting as an antenna. Make sure the  modem

is  screwed down to the computer case or the cable is screwed  in

at  both  plugs..  Some motherboards are not  grounded  (held  by

clips) and they should be grounded.

     Try some tinfoil around the phone wire, and the wire  should

be as short as possible.  Slide the foil up/down the sire to  de-

tune  it. This usually works, unless the house wiring is  picking

it up. then you may need a phone filter (from radio Shack etc).