We report on a BeppoSAX observation of the transient X-ray pulsar 4U 0115+63 close to periastron. This led to the discovery of a dramatic luminosity variation from ~2x10^34 erg/s to ~5x10^36 erg/s (factor ~250) in less than 15 hr. The variation was accompanied by only minor (if any) changes in the emitted spectrum and pulse fraction. On the contrary an observation near apastron detected the source in a nearly constant state at a level of ~2x10^33 erg/s. Direct accretion onto the neutron star surface encounters major difficulties in explaining the source variability properties. When the different regimes expected for a rotating magnetic neutron star subject to a variable inflow of matter from its companion are taken into consideration, the results of BeppoSAX observations of 4U 0115+63 can be explained naturally. In particular close to apastron, the regime of centrifugal inhibition of accretion applies, whereas the dramatic source flux variability observed close to periastron is readily interpreted as the transition regime between direct neutron star accretion and the propeller regime. In this centrifugal transition regime small variations of the mass inflow rate give rise to very large luminosity variations. We present a simple model for this transition, which we successfully apply to the X-ray flux and pulse fraction variations measured by BeppoSAX.
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