Not yet reviewed by Pith; the record is open.

Katsnelson submitted his Comment on our paper "Projective Quantum Monte Carlo Method for the Anderson Impurity Model and its Application to Dynamical Mean Field Theory" to Phys. Rev. Lett. in May 2005. We proved in our report that this comment was incorrect since there is no orthogonality catastrophe for our calculation in Phys. Rev. Lett. 93, 136405 (2004) which is for half-filling. Now in cond-mat/0508763, Katsnelson incorporates our proof of the invalidity of his original Comment, based on Friedel's sum rule. Instead, he now claims that the projective quantum Monte Carlo method is "unpractical" off half-filling, overlooking that our calculations off half-filling (R. Arita and K. Held, LT24 conference proceedings and cond-mat/0508639) employ in practice a noninteracting trial Hamiltonian with the same electron density as the interacting Hamiltonian so that there is again no orthogonality catastrophe. Note added. In the revised version of his comment, Katsnelson gives proper credit to our proof. In our reply, we will present the original proof based on the Friedel sum rule. Moreover, we show that the orthogonality catastrophe does not affect our results. Katsnelson's objection is not valid.