The World Organization for Human Rights USA, which brought the case on behalf of the two journalists, sued Yahoo earlier this year after its Hong Kong-based subsidiary gave e-mails containing pro-democracy literature to the Chinese authorities. The jailed journalists alleged in the lawsuit that jailers have tortured them and that Yahoo was responsible.
Business journalist Shi Tao and pro-democracy blogger Wang Xiaoning were both jailed for 10 years following the provision of information by Yahoo.
Yahoo has agreed to pay legal costs and will also set up a fund to support other political dissidents, but the other details of the settlement were kept confidential.
Earlier, a US Congressional panel had criticized Yahoo for not giving full details to its probe into the jailing of a reporter by Chinese authorities. Yahoo chief executive Jerry Yang also apologized to the mother of an imprisoned Chinese dissident during the probe.
Source: ComputerWire daily updates
