Appearing before a US Coast Guard panel, Steven Ross told the board about a platform issue the experimental submersible experienced in June 2023, just days before it imploded on its way to the Titanic site.
The malfunction caused passengers onboard the submersible to "tumble about" and it took an hour to get them out of the water.
The submersible pilot, OceanGate co-founder Stockton Rush, crashed into bulk-heading during the malfunction, Ross said.
"One passenger was hanging upside down. The other two managed to wedge themselves into the bow end cap," Ross said, adding that he did not know if an assessment of the Titan hull was performed after the incident.
Earlier on Thursday, Renata Rojas, a mission specialist for the company, told the Coast Guard the firm was staffed by competent people who wanted to "make dreams come true".
An investigatory panel had previously listened to two days of testimony that raised questions about the company's operations before the doomed mission.
Rush was among five people who died when the submersible imploded en route to the site of the Titanic wreck in June 2023.
Rojas' testimony struck a different tone than some of the earlier witnesses, who described the company as troubled from the top down and focused more on profit than science or safety.
"I was learning a lot and working with amazing people," Rojas said.
"Some of those people are very hardworking individuals that were just trying to make dreams come true."
Rojas also said she felt the company was sufficiently transparent during the run-up to the Titanic dive.
Her testimony was emotional at times, with the Coast Guard panel proposing a brief break at one point so she could collect herself.
Rojas is a member of the Explorers Club, which lost members Hamish Harding and Paul-Henri Nargeolet in the Titan implosion.
The club described Rush as "a friend of The Explorers Club" after the implosion.
"I knew what I was doing was very risky. I never at any point felt unsafe by the operation," Rojas said in testimony on Thursday.
Earlier this month, the Coast Guard opened a public hearing that is part of a high-level investigation into the cause of the implosion.
The public hearing began on September 16 and some of the testimony has focused on problems the company had prior to the fatal 2023 dive.
Investigators also released underwater footage of the submersible wreck.
The footage shows the submersible's tail cone and other debris on the ocean floor.
Coast Guard officials noted at the start of the hearing that the submersible had not been independently reviewed, as is standard practise.
That and Titan's unusual design subjected it to scrutiny in the undersea exploration community.
OceanGate, based in the US state of Washington, suspended its operations after the implosion.
The company has no full-time employees currently but has been represented by a lawyer during the hearing.
During the submersible's final dive on June 18, 2023, the crew lost contact after an exchange of texts about the Titan's depth and weight as it descended.
The support ship Polar Prince then sent repeated messages asking if the Titan could still see the ship on its onboard display.
One of the last messages from Titan's crew to Polar Prince before the submersible imploded stated, "all good here," according to a visual recreation presented earlier in the hearing.
