NMAC OF 2 SMAS ON FINAL APCH. BOTH CLRED BY TWR.

Narrative

WE WERE ENRTE FROM HARRISBURG; CAPITAL CITY (CXY); TO LANCASTER; PA; (LNS); AT 3500 FT. RWYS IN USE WERE 13 AND 8. WE WERE IN CONTACT WITH HARRISBURG DEP AND REQUESTED THE ILS 8 APCH. WE WERE TOLD BY HARRISBURG DEP TO DSND TO 3000 FT AND MAINTAIN 3000 UNTIL ESTABLISHED ON THE LOC; CLRED FOR THE ILS 8 APCH; AND TO CONTACT LANCASTER TWR ON 120.9 AT THE OM (MANOR). I COMPLIED AND MADE A L TURN; INTERCEPTED THE LOC AN DSNDED TO 2600 FT. UPON HEARING A SOMEWHAT CONGESTED TWR FREQ (THE CTLR WAS WORKING 2 STUDENT PILOTS N AND E OF THE ARPT); I CONTACTED THE TWR A MILE W OF THE MARKER. I WAS TOLD TO CONTINUE THE APCH INBOUND AND CONTACT THEM AT THE OM. I CONTINUED INBOUND AND HAD TROUBLE GETTING FREE ON THE FREQ (AS PREVIOUSLY STATED; THE FREQ WAS BUSY). APPROX 4 MI FROM THE ARPT; I TOLD THE TWR I WAS INSIDE THE MARKER; STILL INBOUND; AND RECEIVED NO REPLY. THE CTLR WAS STILL WORKING NUMEROUS ACFT IN SEVERAL SECTORS. I ALSO HEARD HIM CLR AN SMA Y THAT WAS SOMEWHERE S AND W OF THE ARPT TO LAND ON RWY 8. THERE WAS NO TFC IN FRONT OF ME; SO I ASSUMED HE WAS BEHIND ME. I FLEW L OF THE LOC COURSE. AT THAT POINT; WE SAW THE SMA Y APPROX ON THE LOC COURSE; R AND SLIGHTLY ABOVE US WITH ONLY SEVERAL HUNDRED FT SEPARATION. I CONTACTED THE TWR AND INQUIRED; 'TWR; DID THAT SMA Y SEE US?' THE REPLY FROM THE TWR WAS 'NO; HE DID NOT.' I INDICATED TO THE TWR THAT WE WERE TOO CLOSE TO EACH OTHER FOR COMFORT AND THE TWR REPLIED 'SORRY ABOUT THAT; I GUESS WE LOST TRACK OF YOU FOR A MIN; WE GOT KINDA BUSY.' AT THAT POINT; WE WERE TOLD TO BREAK OFF THE APCH AND ENTER A R BASE FOR RWY 13. IT WAS A SUBSEQUENTLY UNEVENTFUL LNDG. THAT WAS THE CHAIN OF EVENTS WHICH OCCURRED. PURSUANT TO THE HUMAN PERFORMANCE CONSIDERATIONS; I THINK THE CTLR'S ATTN WAS DIVERTED TO THE OTHER ACFT AND THE STUDENTS AND FORGOT THAT HE HAD 2 ACFT APCHING THE SAME RWY AT THE SAME TIME. UNFORTUNATELY; 'SEE AND BE SEEN' DID NOT WORK. THE SMA Y VISIBILITY WAS OBSCURED DOWN AND TO THE L. AND THE SMA X VISIBILITY WAS OBSCURED UP AND TO THE REAR. IN MY OPINION; WE WERE VERY FORTUNATE THAT THE 2 PLTS; WHO WERE BOTH IN THE RIGHT PLACE AT THE RIGHT TIME; DID NOT END UP COLLIDING IN MIDAIR.