A BUSINESSMAN threatened to set himself on fire after his house was repossessed.

Forty homes were evacuated on the quiet cul-de-sac where 53-year-old Peter Sastawnyuk lived with his family after he sealed the locks and said he had 20 gallons of petrol inside.

Magistrates in Rochdale were told Sastawnyuk, who worked for a chemical transport company, sparked a five-hour siege at the family home in the Bamford area of the town after his family were evicted.

The father-of-two was sentenced to a two-year community order combined with a two-year supervision requirement after admitting wasting police time at an earlier hearing.

The court heard that just three years ago Sastawnyuk's young children were being educated at private school and he lived with his wife in the detached house which was valued then at £370,000.

But his problems began when he encountered 'financial difficulties' and borrowed around £300,000 against the house.

Then in 2006, an accident at work left him unable to do his job - and his debts mounted. As a result his house was repossessed and on August 14 this year, he was evicted.

Following repossession, the house was initially placed on the market for £250,000. The court heard, Sastawnyuk agreed a deal with a buyer who would lease the house back to him, but the mortgage lenders would not approve the deal.

The house then went back on the market for £192,500 - around £100,000 less than Sastawnyuk was expecting, the court heard.

 In protest, he began to squat there and on September 4 called his doctor to say he had 20 gallons of petrol and was going to set himself on fire.

Police saw canisters inside the house and Sastawnyuk had sealed the locks with chemical filler. A note left in the back garden said a three-inch trip wire had been connected to the back door.

A 200-metre cordon was eventually set up and 40 homes were evacuated. Armed police were put on standby and the police helicopter circled above. Sastawnyuk emerged five hours later. Tests later showed the canisters were empty and there was no explosive device.

 In a police interview he said he devised the plan to get the mortgage company and estate agents to listen to him and show them 'he was serious'.

"All he wanted to do was speak to the mortgage company", said Lynda Bainbridge, prosecuting.

Paul Kidd, defending, said: "Everything was rosy for him. But the inevitable happened. He was struggling to pay his debt and other debts mounted up.

"He wanted to make a point that the price meant he was going to owe a lot more money than he did. His actions were solely about bringing that point to the mortgage lender."

Sastawnyuk pleaded guilty to wasting police time. He was sentenced to a two-year community order combined with a two-year supervision requirement. He was also ordered to complete 150 hours of unpaid work and pay £60 costs.

 The court heard the house is now back on the market - for £250,000.

Outside court Sastawnyuk apologised for his actions but said he had 'accomplished what he wanted to do'. He said he had 'no idea' why the property was put back up for sale for £57,500 less.

He said: "I have got the mortgage company to do what I wanted and just talk to me. The mortgage company could have avoided all this. I was just focused on getting the mortgage company to speak to me.

"What I did was wrong. I understand that. It was severely wrong. I have never been in any trouble before. I was forced into it just to get people to listen."

He said he wanted to move back into the house and was now talking to the mortgage lenders.

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