I did upgrade to Oneric, and yes the issue still occurs with Oneric, I still 
get the green screen when I plug it in, and tweaking of Xorg.conf is to no 
avail.

This bug is also reported to Canonical Paid Support under my company 
globeone 
case: 00019304

I even went to the great lengths of sending a physical HP USB Display
Link adapter to the Canonical London office so they could have the
actual hardware to fix the bug with.

This, as the project that my company is working on is dependent on
getting a USB->VGA adapter working under Ubuntu.

You would think with paid support (2 licences, one for Lucid and one for
Natty) and actually sending the physical hardware Canonical/Ubuntu
Community could come up with something better than:

"I can't promise we'll
get to it (we get way more bugs filed than we can usually get to), but
your testing and feedback can help out if and when we do."

I am starting to understand why Businesses use RedHat, SuSe or even
Microsoft.

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https://bugs.launchpad.net/bugs/812594

Title:
  HP USB Graphics Adapter (Displaylink) shows green screen

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