On the Nature of XTE J0421+560/CI Cam

We present the results of the analysis of RXTE, BATSE and optical/IR data of the 1998 outburst of the x-ray transient system XTE J0421+650. The x-ray outburst shows a very fast decay initial e-folding time approximately 0.5 days, slowing down to about 2.3 days). The X ray spectrum in the 2-25 keV band is thermal, softening considerably during decay. Intrinsic absorption is observed, also strongly variable. A strong iron line at around 6.7 keV is observed. No fast time variability is observed (<0.1 rms in the 1-4906 Hz band at peak). The analysis of optical/IR data suggest that the secondary is a b[e] star and place the system at a distance of about 2 kpc. At this distance the 2-25 keV luminosity is about 5 x 10(exp 37) erg/seconds. We compare the properties of this system with those of the Be/NS LMC transient A 0538-66 and suggest that CI cam is of a similar nature. The presence of strong radio emission during outburst indicates that the compact object could be a black hole.