I have tried with a fresh new Directory tag within the DocumentRoot. The follwoing configuration was added <Directory /var/www/localhost/htdocs/manilal> Options FollowSymLinks Options +ExecCGI AuthName "E-mail login:" AuthType Basic AuthUserFile /usr/local/bp/htpasswd Require user manilal </Directory> and I accessed it with http://192.168.101.39/manilal Now the browser asks for authentication and it successfully authenticates. So I hope there is nothing wrong with Apache. May be the VH directive is doing the damage. Any thoughts on this behaviour? regards Manilal