It's in "XMB/In-Game Pad Shortcuts" It's labelled as Video rec you have to tick the box and save the changes. You can only use it whilst in a game. You have to press PS Button then push select+R3, It should start recording after you've done that. I just tested it there the now and it saves the...
I've never used it myself, though I think you need to enable it in the shortcut section of webman mod. If it does work there's also a quality setting part in webman mod as well. I'm presuming it saves to some folder on the Hdd, maybe the root of the drive?
You could use webman mod to record your game but you would have to ftp the footage to your pc. I don't know a whole lot about the homebrew that is available, but that would be a way to do it:D
I've had one game lose volume completely.
Sniper Elite V2 .pkg format (I can't remember the region code but I can get it soon)
EDIT: The Region code for it is NPEB01009
I wouldn't recommend you unplugging the power cable from the ps3 unless you have to, you could fry the psu. Try holding the power button for about 20 seconds and that should turn it off