Erica Jayne accuses Kathy Hilton of using anti-gay slurs, Kathy denies it

Erica Jane It is a big indictment against Kathy Hilton In the finale of the ‘RHOBH’ reunion… she claims to have heard Cathy utter an anti-homosexual fetish, but Cathy flatly denies it.

Sources with direct knowledge of TMZ say… During the reunion finale, Erica accuses Cathy of making an anti-gay comment when the cast went to Aspen. We’re told Erica claims Cathy used slander against someone the cast was around earlier this season, but production cameras weren’t rolling when the alleged incident occurred.

Our sources say the production investigated Erica’s claim after the Aspen trip, but found it was basically a case of she said, she said — Erica’s word against Cathy.

Having said that, we’re told that Erica’s claim has not been modified from the reunion finale – which airs on Wednesday – and in the episode, Kathy is adamant that she never used the surname and says that Erica is a liar.

Kathy has others supporting her… Our sources say after Kathy’s strong denial, several RHOBH stars have spoken out in her defence. Interestingly, Cathy’s sister has been told, Kyle Richardssitting quietly next to Cathy while back and forth with Erica…more evidence of their torn relationship.