Warning: I'm not familiar with Werewolf the Apocalypse setting
Since the spirit is reading everyone's thoughts, it would be a prime victim of the Mandela Effect. The party would know the real facts while the entire town / spirit would know the misinterpreted fact.
Also, AI typically hallucinate because its not logically working things out. It gives you the most probable correct answer.
An example from the top of my head would be esoteric information such as a creature weakness. Say slime are rare and no one has seen them. The AI would hallucinate and tell you to hug the slime to defeat it because it got the fact from a child's dream.