The rumor Perez Hilton started about Demi being a cocaine user is supposedly a lie.
“Demi Lovato is not in treatment for drug or alcohol addiction,” her spokesperson says. “As we have said since she entered treatment last week, Demi decided to seek help for emotional and physical issues she has battled throughout her life. She has taken this step in order to get her life in order.”
Demi's ex, Cody Linley, tweeted about the rumors that have been surfacing. Cody said, "TMZ hasn't known Demi Lovato as long as I have. Neither has Disney. Trust me when I say everything you are seeing on the news... Is B.S."

Demi is at Timberline Knolls Residential Treatment Center near Chicago, and has been able to see her immediate family. Above are photos of the treatment center.