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George Galloway and Preston were called into the diary room and told they were to be punished for breaking house rules by discussing nominations the day before.
But, unbeknown to them, footage from the diary room was being streamed to the rest of the group on the plasma screen.
The two were close to tears when it was later revealed everyone had heard their comments.
"As punishment, you must nominate three housemates who will automatically face the public vote," Big Brother told the pair.
"First I would like to apologise for breaking the rule. I was het up at the time," said George, before nominating Traci.
"My reason would be that she created a very bad incident that need never have arisen," he explained as a flustered Traci began to flit around the dining area in confusion.
Agreeing with George's choice, Preston added: "She also ostracised herself from the group."
Preston picked Maggot as the second nominee. "Maggot said something earlier which I would thoroughly disagree with. He said 'let's play the capital cities game' which I interpreted as 'let's make Chantelle look like a muppet' game."
Finally, George proposed that Rula be the third nominee. "Mine would be Rula on the basis that she's trying too hard, in fact said that she was now going out to win."
After George and Preston left the room determining to tell the others they had simply been punished it was revealed to them that everyone had heard their comments.
The pair had to spend the next hour trying to appease Traci and Rula, who were both obviously hurt and upset at the comments.
Rula said she was disappointed by George saying she was "going out to win".
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