There are plenty of people in LA but sometimes artists or beautiful people travel in similar circles and people bump into each other. "BooBees" could be a film editor, or a mixing engineer, someone in fashion, or someone just hot enough or connected enough to get invited to parties in the hills. It's not that far fetched.

There's the Hollywood that Hollywood wants the public to see (to maximize money spent) and then the real Hollywood/LA and they can be really shockingly different. The machine will lie elaborately in convoluted ways to increase money slightly, and people in the industry are happy to go along, and generally so is everyone else in LA. Plenty of open secrets exist. It's not even out of greed necessarily, but people in LA want to make more art which often requires more money to get made, so they will do anything to expand the pie.