Latest update,
No luck getting in with a boot disk or the single user login. Thanks Ray.
As a work around I booted with Knoppix and viewed the /etc/lilo.conf file. It had the "Mitel-SME-up" setting like it's suppose it. As a test I ran Lilo and got this error "Boot.b could not be found".
I check the boot directory and there's nothing in it!
Mystery solved. even though I'm ghosting a hard drive, it's not all getting copied over.
I"m going to muck with it some more to see if I can figure out the problem and if I come up with anything, I'll let you know.
Thanks for your help Ray,
Craig