NEW LEADERSHIP FOR SEC’S SISTER COMPANY POLIMATRIX, INC.

Polimatrix, Inc., positions for future expansion with addition of strategic leadership

Arlington, VA, July 30, 2008   Homeland Security Capital Corporation (OTCBB: HOMS), an international provider of specialized technology-based radiological, nuclear, environmental, disaster relief and security solutions to government and commercial customers, announced today that its subsidiary, Polimatrix, Inc., a solutions provider and systems integrator of radiation & nuclear detection and identification systems has selected new senior leadership for the firm with the experience and industry knowledge necessary to launch the technology offering worldwide. Mr. Donald J. Goebel joins the company as the new chief executive officer (“CEO”) and Dr. Arthur E. Desrosiers, CHP, is undertaking the general manager position. Martin Erim, the division’s former CEO, will remain with the company as a consultant.

“The appointment of Mr. Goebel and Dr. Desrosiers represents a significant milestone for Polimatrix and will result in increasing our ability to expand our market and Polimatrix technologies,” commented Homeland Security Capital Corporation’s (HSCC) Chairman and CEO C. Thomas McMillen. “Through their leadership, they will assist in bringing Polimatrix technologies to Chemical, Biological, Radiological, Nuclear and Explosive (CBRNE) programs globally. This capability directly aligns with the HSCC business focus providing our clients with industry-leading capabilities to identify and secure nuclear threats effectively.”

Mr. Donald “Don” Goebel brings more than 23 years of experience in the environmental and nuclear industry with direct focus in marketing and operations of analytical and characterization programs associated with emergency preparedness and response, as well as health and safety compliance programs. Over the past 10 years, his focus has included development and implementation of strategic plans for marketing and sales initiatives throughout the US and United Kingdom.

As the CEO, Mr. Goebel will leverage existing relationships within the nuclear industry to implement the comprehensive Polimatrix business plan which includes market entry into security, safety, weapons and power utilities sectors. With corporate offices based in Arlington, VA, the Polimatrix business model will include integration with existing HSCC clients and relationships to provide radiation detection technologies to meet expanding needs for nuclear safety and security.

“I strongly believe the Polimatrix technologies will meet a critical need in the market to specifically address the ever increasing challenges of security and intervention of natural and man-made threats to the US and all countries,” stated Don Goebel, Polimatrix CEO. “The staff and infrastructure currently in place for Polimatrix will directly support our business plan and associated sales goals over the next twelve months.”

Dr. Arthur Desrosiers brings over 35 years experience as a senior certified health physicist (CHP) and nuclear engineer to Polimatrix as the general manager of technology applications and marketing. He is a Harvard University graduate with direct leadership experience in environmental monitoring, emergency preparedness, and management of health physics programs, licensing, decontamination and decommissioning.

Dr. Desrosiers remarked, “This position is a stimulating opportunity to apply over thirty years of experience in the areas of decontamination, environmental sciences, and instrument technology in developing new products and services. The challenge of fully integrating the Polimatrix technologies into emergency response and radiation protection is particularly exciting.”

About Polimatrix, Inc.
Polimatrix, Inc., is a system integrator and total solutions provider delivering advanced radiation and nuclear protection and detection services. The company has been operating since September 2006 as a joint venture between Homeland Security Capital Corporation and Polimaster, Inc. For more information about Polimatrix, visit www.polimatrix.com.

About Homeland Security Capital Corporation
Homeland Security Capital Corporation is a company engaged in the strategic acquisition, development, and consolidation of homeland security-related businesses, within the fragmented homeland security industry. The company is focused on creating long-term value by taking controlling interest and developing its subsidiary companies through superior operations and management. Former Maryland Congressman C. Thomas McMillen, who served three consecutive terms in the U.S. House of Representatives from the 4th Congressional District of Maryland, heads the company.

Homeland Security Capital Corporation operates businesses that provide homeland security products and services solutions, growing organically and by acquisitions. The company is targeting emerging companies that are generating revenues but face challenges in scaling their businesses to capitalize on homeland security opportunities. In addition to Polimatrix, the company holds a majority equity stake in the following companies:

Safety and Ecology Corporation, a rapidly growing environmental services company in the U.S., providing services nationally, in Europe and the Caribbean. The Company specializes in the removal and remediation of hazardous nuclear materials for the U.S. Department of Energy, U.S. Department of Defense, and other federal agencies. SEC also provides advanced environmental services for private industry across the country and internationally. Since its founding in 1991, SEC has grown approximately 30 percent per year, and has emerged as a technology innovator with more than 420 personnel worldwide and with annual revenues of more than U.S. $50 million. For more information on SEC, visit www.sec-tn.com.

Nexus Technologies Group, a mid-Atlantic security integrator for the corporate and governmental security markets that specializes in non-proprietary integrated security solutions including access control, alarm, video, communication, perimeter protection, and bomb and metal detection security systems. Utilizing cutting-edge technologies, Nexus provides innovative, engineered, and scalable solutions to effectively protect people, property, and assets. For more information about Nexus, visit www.nexusna.com.

For more information about Homeland Security Capital Corporation, or to be added to our e-mail distribution list, please visit www.hscapcorp.com.

Forward-looking statement: This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future activities, performance, events or developments, are forward-looking statements. Although Homeland Security Capital Corp. believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements.

Contact:
Homeland Security Capital Corporation, Arlington, VA
Anne Smith, Public Relations
865-342-7668
Email asmith@sec-tn.com
or
The Investor Relations Group
212-825-3210
Investor Relations:
Conrad F. Mir
cmir@investorrelationsgroup.com
Christine A. Berni
cberni@investorrelationsgroup.com
Public Relations:
Susan Morgenbesser
smorgenbesser@investorrelationsgroup.com