By Alexis Tereszcuk - Breaking Celebrity News Senior Reporter

The rumors surrounding the relationship between Kate Gosselin and her married bodyguard, Steve Neild, just won’t die down!

The controversial mother of eight attended the Red Cross 12th Annual Red Ball charity event in Philadelphia Saturday night where a local reporter spotted her getting cozy with her bodyguard Steve Neild, Breaking Celebrity News is exclusively reporting.

“Steve and Kate were definitely together, at one point he had his arm around her, and there was no crowd near them,” Hughe Dillon tells Breaking Celebrity News. “Wish I had thought of getting that shot, I don't know what I was thinking!”

The reporter referred to Neild as Kate’s boyfriend at one point and a twitter war ensued, with Kate calling Dillon, a liar.

“I had a balls to the walls awesome time at #redball12 then Kate Goselin (sic) showed up and I got a shot that's gonna be seen around the world,” Dillon tweeted.

Someone asked if a photo of Kate was worth any money these days, to which Dillon replied, “The photo I have will be and she'll hate me for it – lol,” and “That's why I got the shot I did, cause I didn't get her on red carpet or get the tweet that told me she was there. I will say she is grouchy.”

PHOTO: Kate Picks Up Kids From School

Kate, who recently said that she’s single and lonely, defended herself on Twitter initially, writing “hi! I'm reading your tweets & am upset u are lying about me! I spent about 20 sec with u & gave you a pic...why the hate?” but then slammed his account of the