Me and [LN]-Galen.Anderson met a guy in Texas, flying a transport (pirate train, I can't remember it well), whom said was captured by terrorists, we could shot him down, but here comes the part where the terrorists excel theirself....
this ship was too close to planet Chisos, if he would be shot, the hostages would died in the atmosphere. (I shouldn't be saying this)
So, if you wanna negociate, I suggest, get the prisoners close to a planet, and make your way out of the system, or get a friend, and while one have the hostages close to a planet, the other goes to the prison and take the prisoners.