Currently network haptic applications become more effective than ever, various usagesare being sought in order to improve efficiency and accuracy of tele-operation and communications among users in shared virtual environments (SVEs). The behavior of haptic communication system under realistic network conditions (delay, jitter, and bandwidth limitation) has recently been studied. Therefore the aim of our research is to develop the network-based haptic interaction system which adapts to realistic network environments including the Internet. In this work, we design and implement a prototype of the system with network tolerance in consideration of various network problems. Experiments using objective and subjective evaluations showed that the system works properly under realistic network conditions.