I have Ubuntu 8.04 LTS Server with Gnome desktop. When I try to connect to it using SSH I can see from the log that connection succeeded:

Apr 7 09:36:16 piika sshd[6867]: Accepted password for MyUserName from MyIPAddress port 16294 ssh2
Apr 7 09:36:16 piika sshd[6869]: pam_unix(sshd:session): session opened for user MyUserName by (uid=0)

In the system administration I can see, that the process 6869 is there, named "sshd:MyUserName".

However, nothing happens on the terminal window of the remote computer where I am making the connection from. Every time I try this, the port number is different.

SSH port is configured 22, as normal. It seems there is traffic in to the server, but not out. Why is this?