I got the sense that these two were each other's "inside" source. Charlie make something up and be Simon's source, then Simon would make some shit up and be Charlie's source.

I get that Simon is some kind of spiritual leader and has some whackadoodles following him so he feels he needs to protect and reassure his flock. The thing is, if he was a good leader, he wouldn't have to make shit up about having inside sources. Look at BardFM, he doesn't speculate or make shit up, he's a steady voice in the darkness but isn't making any promises other than expressing some cautious optimism and utter disdain for the communists.