Sorry for the denial of reinstatement..And i think your status is gone retroactively, i guess..And that's why Your School told u to go back ASAP..

I don't think anyone of us can give u a solution and i assume that even the Lawyer can't help(They may have some ways to handle this thing but i think it's not  worth the time and money)..

Couple of info's for you..If u remain illegally present in US for more than 180 days it will trigger a ban of 3 years i guess and the ban period could reach 10 years depending upon the days if U stay illegally here..

Darknite, this a tough time for you and i hope that u make a prudent judgement..Personally , i encourage you to go back at the earliest so that it may not jeopardize the chance for you to come back to States in the Future..