MemoRecorder-installer is the second iteration of Voice-Recorder. It now has a nice PND installer.
The software installs locally, requiring 12Mb on your SD card.
It uses SOX to record to ogg in high quality mono.
In addition it now has code to manipulate any of the leds and backlight in usermode (through setuid and compiled binaries op_leds and op_backlight).
The backlight is to improve the recording quality (the screen makes a high hiss noise when on).
Of course, all is configurable as simple scripts and the code is included, so you can modify it at will.
Officially it is GUI-less but the installer asks if you want a desktop icon.

For questions and details, see the boards:

http://boards.openpandora.org/topic/13459-voice-recorder-2-using-sox-to-record-mp3s-on-the-fly/?p=253117