QTP Version: 10

I ran a QTP script, which I knew would fail. I was able to see the exact error message in QC, which I would normally see on the test results page in QTP. Prior to running the script, in QTP, I had selected an option "Submit a defect to Quality Center for each failed step". However, when I ran the script in QC and the script failed, I didn't see a defect created in QC. I had imagined if the system would create a defect and I would be able to see in "Linked Defect" or Defect tab for that matter.

Please suggest