parameters to pl/pgSQL functions

[David Gardner <david(at)gardnerit(dot)net>]

I recently ran into a little problem with a pl/pgSQL function, I was 
able to get it working by removing the variable names for the parameters 
and using $1 & $2 instead. I am curious if I am just doing something 
incorrectly. The first function fails on the insert statement. I'm 
guessing that it has something to do with the ntid variable and the 
column names having the same name, however pgsql never complained about 
the select statement, and on instances where a record is found it 
executes correctly. Any insight in this would be helpful.

The error:
ERROR: syntax error at or near "$1"
SQL state: 42601
Context: PL/pgSQL function "ntgetntlpid" line 6 at SQL statement

Bad Function:

CREATE OR REPLACE FUNCTION ntgetntlpid(lpfundid integer, ntid integer) 
RETURNS integer AS
$BODY$DECLARE
  ntlpid integer := 0;
BEGIN
  SELECT "ntLPID" INTO ntlpid FROM "NotificationLP" WHERE "LPFundID" = 
lpfundid AND "ntid" = ntid;
  IF NOT FOUND THEN
     INSERT INTO "NotificationLP" ("LPFundID", "ntid") VALUES 
(lpfundid,ntid);
     SELECT "ntLPID" INTO ntlpid FROM "NotificationLP" WHERE "LPFundID" 
= lpfundid AND "ntid" = ntid;
  END IF;
  return ntlpid;
END;$BODY$  LANGUAGE 'plpgsql' VOLATILE;

This one works:

CREATE OR REPLACE FUNCTION ntgetntlpid(integer, integer) RETURNS integer AS
$BODY$DECLARE
  ntlpid integer := 0;
BEGIN
  SELECT "ntLPID" INTO ntlpid FROM "NotificationLP" WHERE "LPFundID" = 
$1 AND "ntid" = $2;
  IF NOT FOUND THEN
     INSERT INTO "NotificationLP" ("LPFundID", "ntid") VALUES ($1,$2);
     SELECT "ntLPID" INTO ntlpid FROM "NotificationLP" WHERE "LPFundID" 
= $1 AND "ntid" = $2;
  END IF
  return ntlpid;
END;$BODY$  LANGUAGE 'plpgsql' VOLATILE;