Can i create accounts with unlimited space and bandwidth?

Unfortunately you wont be able to create any account with Unlimited Space or bandwidth. You are allowed to set others like ftps, emails, addons, parked domains, mysql databases to unlimited.
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Certainly, you can have. Even we setup private nameservers for the subresellers created by master...

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According to MH privacy policy, none of the Mellowhost's employee will login to another server...

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