My DM certainly did! At one point (among other things) she got it into her head that an aunt (her sister) had ‘stolen’ their mother’s house.
I’m pretty sure what kicked it off - we’d visited the younger aunt on her 80th, and DM had noticed some things that had come - entirely legitimately - from their childhood home.
At first I did try facts - the home had been sold long ago, all the siblings inc. DM had received their share - it was useless. It was like an angry bee, constantly buzzing in her head.
It took a while to dawn on me that even a signed and sealed statement from the Lord Chancellor wouldn’t have convinced her - I’d only have been ‘in league with’ my aunt - she’d already accused me of that several times.
So eventually, when she started on about it yet again, I’d say e.g, ‘Dear me, that’s terrible, I had no idea! I’ll get on to the police/a solicitor first thing tomorrow.’
Since her short term memory was practically zero by then, I could repeat as necessary, and it always satisfied her for the moment.
On a lighter note, every time any country from Azerbaijan to Zimbabwe was mentioned on TV, my DM would say she’d been there.
At first I’d say, ‘Er, I don’t think so…’ but soon changed it to, ‘Oh, really? Was it nice?’
The answer was invariably ‘I can’t remember.’ 😂
So basically, you just have to go along with it, no matter how fantastic - arguing is useless.