well - here's my take on it:
first - I doubt seriously that you have been listed at very many LLs - most WMs dont list fake whois domains. Second the site with the subdomain would be an instant ban at most LLs - so you might check that as well. I would also make sure that you are using a good email as the hotmail addy would also get you declined if you used it (I dont know as Ive never seen a submit here)
Definitely think about how you push a site - think about the Sunday newspapers and how the car dealers push specific cars or even go to mens magazine and see how they talk up a certain thing they are selling in the back.
Looking at the entrance page for one of your free sites I could barely find the Enter link - again a reason most LLs wouldnt accept it (its the smallest link on the page)
If you have really made 100 free sites since youve owned this domain then you definitely have the mindset to do this well - 100 sites in less than 5 months is great - just have to learn the selling points
and there are loads of threads in the newbie section that go into detail on this - or just look at some LLs around here to see what does get accepted and how they sell. Or just look at Tommys free site he posted and take good lessons from that one
As far as taking logos off the thumbs I do believe that would NOT be a problem as long as you leave them on the full size pics -but definitely need something to make thumbs better