Deanna Coleman is describing the increasingly desperate scene at Petters headquarters in the summer of 2008 as hedge funds became suspicious when Petters was late repaying loans from them.

On secret recordings made by Coleman, Petters can be heard saying only getting more money will get them "out of the crime."

On the recordings Coleman, Petters and co-defendant Larry Reynolds can be heard talking about how they can lie to investors to delay getting money back to them.

Coleman asks Petters if one investor knew the purchase orders claiming to show Petters was doing millions of dollars of business in electronics were fake. Petters replies, "F--- no, they don't know they are fake."

Coleman testified it was Petters who had her make up phony invoices for millions of dollars. Her testimony is expected to continue today and tomorrow, possibly longer.