E-brake stuck and now the back wheels are smoking.

@trisht by E-Brake I assume you are referring to your parking brake. It sounds like you are saying you can't release the parking brake handle because of a fault with the release. Yes, since your parking brake works on the rear brakes, it will create smoke since you are trying to drive with your brakes engaged. Definitely not something that you want to do since that will cause damage your brake system as well as cause brake failure.

You can try and release the parking brake by trying to loose the parking brake adjusting nut. If you can't get to the adjusting nut, you will have to try and determine where the locking pin is stuck on the handle. For all of this you will have to remove the center console.

Since we can't see what you have going on there, I have added the 2006 2009 Honda Civic Brake Chapter from the service manual which can guide you through this. Check around page 9 and on.