The News of the World quoted an insider as saying: "It's unbelievable, but she was still taking cocaine to try to numb the pain, even after she was rumbled. All she wanted to do was get completely out of her mind.
"She was crying and saying she was going to lose her advert contract with Iceland and was terrified her ex, Brian McFadden, would get custody of their daughters Molly and Lilly-Sue. And she kept repeating how social services would take away her youngest two, Heidi and Max. But never, at any stage, did she say she was actually going to DO something about her problem and STOP taking the cocaine.
"It was the opposite, she was just wanting to get more and more drugs to get wasted. She was up all night Saturday (after the News of the World told her about the video) and couldn't string a sentence together by Sunday lunchtime, she was a total mess. And her husband Mark kept whining over and over, 'We've lost the f***ing lot, Kez!' And he was taking cocaine, too. He's no better than her."
Katona has publicly admitted her fear of losing her children after she returned from a holiday in Tenerife. Katona said: "I've let my children down. I'm so sorry and so ashamed. I know I let everyone down - my fans, my family and people I work with."
She also said her latest cocaine snort was 'a moment of weakness' due to hubby Mark's escapades with strippers in Majorca. "I did it because I was very unhappy at the time and thought it might make me feel better about myself," she added.