hg required proxy by default?

[TK Soh]

I am try to clone from a repo I setup on an intranet web server, but
somehow hg seemed to always try to go through a proxy server. My hgrc
is empty.

  % ping 163.2.129.42
  163.2.129.42 is alive

  %  ./hg clone http://163.2.129.42/~tksoh/cgi-bin/old/crew
  requesting all changes
  abort: HTTP Error 407: Proxy Authentication Required

It'd work if I add the http_proxy server into the hgrc and add
163.2.129.42 to 'no' field. But this doesn't make sense, since most
people work within the firewall.

What happen?