i don't know what to think- the wife's comments really do make it seem like Gary is out To harm C. in some way.
However, I was thinking, & we know that Gary is related to C. by marriage.
Considering it is his wife who is relayed to C.'s dad, could that mean anything? What if something (in Gary's perception, whether that's correct or not) is not good for C. at home? (It would have to be that it was only an issue got C., not her little sister, too, to make this theory plausible). Maybe he felt someone needed to step in, but his wife did not want her brother (C.'s dad) exposed for whatever Gary might think is going on. Families seem to stick up for families, as sad as it is sometime adults will even stick up for/protect their own adult family members over children (sometimes under the circumstances that the children may not be being truthful/they don't believe their brother/sister/etc., to be capable of something bad). Maybe the wife isn't speaking out as far as where she thinks Gary may be/is saying he's up to no good without even trying to defend her husband again in an attempt to not expose/protect her brother; drawing attention toward Gary being up to something bad would take speculation away from anyone else. Maybe she knows deep down that Gary could be right about whatever he suspects is going on with C., and that's why she may be 'playing dumb' as far as where the could be?
Or maybe she really has no idea?
Maybe Gary is a sicko?
Also, it's been pointed out how odd it is for her to not stick up for her husband or express shock/disbelief, but do we have any idea how their marriage is? They have a disabled son, which could add stress to their marriage depending on the extent of his disability (the extent of care needed, a possibly rigorous therapy schedule, limited finances, huge medical bills, etc.).
eta: all just my scattered thoughts/opinions.