Found the solution.....(this is what I posted to the interwebs for another guy who had the same thing happen)
I have the answer...It lies in a crappy volume fader potentiometer.
I opened the unit and started troubleshooting. With a digital voltmeter, I took readings of the pitch wheel potentiometer as well as the modulation wheel and the volume pot. I discovered that the wiper of the 10kOhm volume potentiometer was not connected to the wire and plastic connecter that meets the main board.
Sure enough, I opened the potentiometer by bending the little arms on the outer chromed case and exposed the innards of the slider. Sure enough, the little brass or copper spring fingers that make contact with the resistor strips on each side had not been making contact. I bent them downward and reassembled the switch by bending the case fingers back in place and whalaa! Works fine!!
So, if you are not comfortable with getting inside the switch, you might be able to find a 10kOhm fader style potentiometer at Radio Shack and it may fit the holes in the board. If not, you can eliminate the board entirely and just find a small piece of PCB board, mount any 10kOhm slider to it and cut the pigtail off the old board and make the connections to the three slider connections (wiper and each end of the fader's strip). You could even drill a 3/8 inch hole in the top plastic piece and change the slider for a rotary pot and knob.... Just use any 10K pot (I believe the taper is linear not audio, but I am not sure)