October 3, 2007 (LPAC)--A mass meeting last night of 400 people suddenly threatened with foreclosure in Lancaster, Pennsylvania, was told by state elected officials that they could do nothing to help them; Federal action is required. Following the collapse into bankruptcy of a mortgage company named Personal Financial Management, more than 800 families in Lancaster--which has about 25,000 households--have abruptly seen their monthly mortgage payments jump by up to $500, and are threatened with foreclosure.

The homeowners have named 11 banks and mortgage companies as complicit in a years-long mortgage-bubble speculation scam which is at the point of throwing them out of their houses. Their mass meetings have been covered on the front pages of the Reading Eagle and Lancaster Intelligencer Journal.

The homeowners were beside themselves when the area's state senator and two state representatives, all Republicans, told them there was NO help for them on the state level. Their Congressman, Rep. Joseph Pitts (R), did not attend the mass meeting.

Representatives of the Lyndon LaRouche Political Action Committee (LPAC) were at the mass meeting and organized for the Homeowner and Bank Protection Act, a Federal Congressional action to stop foreclosures nationwide, which is backed by a resolution in the Pennsylvania legislature. Homeowners spoke at the meeting of targetting Democratic U.S. Senator William Casey, in particular, to "get the Federal government involved."

A civil suit by the homeowners charges that Suntrust, Wells Fargo, JP Morgan Chase and other banks, and Washington Mutual, Countrywide and other major mortgage lenders--a total of 11 banks and mortgage companies--were involved in pumping up the mortgage debt bubble of Personal Financial Management, which has now exploded in bankruptcy and mortgage fraud charges. Multiple mortgages were taken out on the same houses; some families have discovered their mortgage loans were sold and resold several times without their knowledge; one testified that $100,000 in payments made by the family over years were never applied to the mortgage.

And all of the families face mortgage payments they can not afford, and loss of their homes, unless Congressional action is taken to halt the national wave of foreclosures, by law.