I oringinally just removed the ears/teeth on mine. I posted asking if this was OK. My post illicited no response, so I soon thereafter decided to just cut the rest off and not risk it.
There is no legal definition in 18 USC 44 Section 921 of a Bayonet Lug, Folding Stock, Flash Suppressor, etc...so there is no legal definition of what constitutes a bayonet lug. Some (NSFJoJo and McUzi if I remember correctly) first stated that removing the earsa was fine, but others suggested removing it all.
As there is no definition, what constitutes a lug may vary by case, judge, etc. While one may say that one with the ears removed is fine, one may also say it still accepts a bayonet and therefore is still a bayonet lug.
Without a legal defintion I really doubt there will be any final determination. So, I just say remove it for your own sake. I have heard of no charges for violations of 922(v) (1994 AW Ban)or 922(r) (1989 AW Import Ban) on their own, so you might be OK. Then again, the ATF might make an example of you.