She said she was upset because Chelsia was making fun of Matty, she doesn't like that. As for them being 'related' she told Josh that Matt was family (I was thinking BB family) but she told him to shut the door then and said something about she hadn't even told Natalie what she was about to tell him.
(then at that time my feeds cut out cause of my computer) but alot of people are saying she said that Matty visits her in LA and such.
I don't think they are related, I think people took it and ran. The HGs now think that she is Matts aunt.