Wow, that's the most amazingly hosed httpd.conf I've ever seen. Try this, from the shell prompt:
# ls /etc/e-smith/templates-custom/etc/httpd/conf/httpd.conf
If this comes back with an error that the directory doesn't exist, fine. If not, post what it indicates. If there are no files, do this, again at the shell prompt, and post the _exact_ output:
# /sbin/e-smith/expand-template /etc/httpd/conf/httpd.conf
# /etc/rc.d/init.d/httpd-e-smith restart
If it runs without errors, how's your system?