When I'm trying to dial out and when my modem accesses the phone line, yes, I can hear the dial tone, but no more than that, I can't hear number being dialed after that etc...
After some time listening to the "music of the tones" I got a line busy signal and an error message #678 - There was no answer...
And as I've mentioned before, there no problems with this when I use "operator assisted dialing"....