Holly Madison began dating Good Charlotte guitarist Benji Madden last December, but supposedly now they're "just close friends," she said on 'Chelsea Lately' (weeknights, 11PM ET on E!).

But Chelsea Handler wasn't buying it. "You know you lied to me, to my face directly on this show probably like six or seven times," Handler told Hugh Hefner's ex. "So when you say no, I'm gonna say that that means you are penetrating and that you are in a committed relationship."

Madison just giggled, and said she's "busy busy busy" with her burlesque show in Las Vegas, and he's away on tour.